“Basic Acid Tests” by Kathleen Richards

10/10/2026
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10:00 am - 11:00 am ET
Online
Cost: Free
 

Description

 
“Basic Acid Tests” by Kathleen Richards

Description 
Is this stock worth investigating further? Use the BetterInvesting Stock
Selection Guide’s three “Basic Acid Tests” to find out.

Acid Test #1: Are sales rising, and do the fundamental graph lines
follow a straight, parallel upward trend?

Acid Test #2: Is the company performing better than it did at this
time last year?

Acid Test #3: Is the company profitable, turning profits into more
profits, and keeping debt at a reasonable level?

Three yes answers may indicate a high-quality growth stock worth
further research. Otherwise, learn how to “put up a barbed-wire fence”
and throw the stock out.

For a more in-depth evaluation, take “Advanced Acid Tests” after
completing this class.

 

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