| Question #3: How Can I Use the Internet
to Search for Underpriced Stocks?
The Internet is a great source for tracking underpriced
stocks. You can receive information during the day to get updated on the financial
markets. Information includes business news, market commentaries, and breaking news. Here
are a few examples of what's available:
Briefing.com http://www.briefing.com provides a free
concise stock analysis, objective commentary, economic
and earnings data, broker ratings changes, and easy navigation. The Platinum
level is for investors who need live market information and insight, trade
actively and want short-term trading ideas. The Platinum level of service is
$19.95 per month and has a free trial subscription. At the end of the free
trial you will be billed for a minimum of 12-months. The Trader level of
service is for very active traders who value specific money making trading
ideas, want live information from trading desks and use technical trading
set-ups.
PC Quote
http://www.pcquote.com
offers a variety of free and fee services for investors.
Free content includes charting, screening tools, quote pages, special
reports and market analysis and commentary with a real-time focus on market
moving events. MarketSmart provides unrestricted access to as much market
information as needed to make useful investor decisions ($9.95 per month).
The following services have a 14-day trial period. See the Web site for
subscription prices an details.
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MarketScreen identifies investments opportunities with an abundant
collection of screens.
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Level II
Viewer brings NASDAQ market maker information by displaying all Market
Makers for a give security.
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PCQuote
Screamer is a fully comprehensive and advanced browser-based streaming
real-time quote system.
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NewsStream with Dow Jones Real-Time News for investors delivers
extensive, up-to-the-minute coverage of companies and markets.
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TotalView
compliments the NASDAQ Level II Viewer with deeper insights into market
participants' trading interests
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SmartCharts delivers live, streaming information through your browser
and features various tools and studies.
There are
several ways to determine if a stock is undervalued. The valuation models
attempt to estimate the fair value of a stock using fundamental economic
criteria. This theoretical valuation has to be perfectly matched with market
criteria to determine the potential market price of the stock. The Internet
offers several online fundamental analysis calculators. At this time my
favorite is located at
http://www.moneychimp.com/articles/valuation/dcf.htm. The Web sites
above can provide the information needed for the online calculator. |
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