Hello Everyone,
Since I will be doing a few stock reviews in the days to come I have created my own rating system based in three categories. I will grade companies based on the following criteria and will use only facts and information available to the public.
1) Investor Relations- Worth 15 pts
Does the company post announcements reguraly? Is the CEO mantaining a decent presence in the company forum? Are there any outstanding complains from shareholders? Do shareholders feel welcomed and treated like partners by the management?
All of those questions will come in to account in order for a company to earn a high score in the investor relations section. Furthermore since I see investor relationships to be key for a well rounded public venture I have given this category the highest possible amount of points to be earned.
2) Financial Transparency / Business Profits - Worth 10 pts
Is the business doing well in terms of profits? Is there a good pattern of transparency by publishing financials when they are due? Are assets growing?
3) Dividends - Worth 10 pts
Is the business sharing its good profits with the shareholders at a constant rate? Are dividends decent in amount ?
Under the Carter System a company may obtain a maximum of 35 pts depending on their scores in each of the three subcategories. In addition , each report will close with a comment/verdict which might be in the form of an opinion based on the information in each section.
At this point I want to ask anybody who reads this to comment on what they think of the system and if they see anything that should be added to improve its accuracy. Suggestions are well received and appreciated as long as they are given in a professional manner.
Thanks ,
Matt1030 Carter
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