Post by turner20001on Mar 04, 2024 2:53pm
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Post# 35913963
APDN STINKS!
APDN STINKS!STRONG SELL RECOMMENDATION - 600 Reasons to Sell this Dumpster Stock
201. The following comes from the book, titled, “Buffett’s 2-Step Market Strategy.”
202. Most of the investors in APDN probably did not read “Buffett’s 2-Step Market Strategy,” and that’s why they are losing badly!
203. When buying a stock, you should use the same metrics that you would or should use to buy a business.
204. “You buy businesses for the cash that they will produce over their lifetime.”
205. There’s “a metric called “free cash flow” and... it is better than net income or earnings.”
206. “P/E ratios are not the basis for deciding whether or not a stock is at a good valuation.”
207. Most people lose money in the stock market because they “ignore the fundamental investing principle of looking at a firm’s future free cash flow.”
208. “Net income and P/E ratios are misleading.” Read the book to find out more.
209. What makes a Wonderful Business? The first characteristic of a Wonderful Business is that the business has “has a Strong Brand.” Not true with APDN!
210. The second characteristic of a Wonderful Business is the business “is a Designated Company for its Service.” Not true with APDN!
STRONG SELL RECOMMENDATION - 600 Reasons to Sell this Dumpster Stock
211. The third characteristic of a Wonderful Business is the business “has Competitive Intellectual Property.” Not true with APDN!
212. Before investing in a company, you must ask and answer the following question: “Can another company realistically out-compete them?” Many companies can out-compete APDN!
213. The fourth characteristic of a Wonderful Business is that “its industry is not Rapidly Changing.” Not true with APDN.
214. “Wonderful investment opportunities are not found in rapidly changing industries.”
215. “You do not want to be invested with a company that is in a technology war. There is just too much risk.”
216. The fifth characteristic of a Wonderful Business is “it is Financially Healthy.” Not so with APDN.
217. “If a business is not financially strong, it is not a good business to invest in.”
218. “If a company is not financially healthy, its ability to compete and grow will be severely limited because it won’t be able to generate enough cash to fund growth opportunities.”
219. With “net income, you want to see the value go up each year because it generally means that the company is making more money each year.” Not true with APDN!
220. “It is important to see that the revenue is continually increasing each year because it shows that
the business is continually growing.” Not true with APDN!