Smart Gains, Strong Returns: Harnessing Return on Equity to Pick Winning Stocks

By: K, Vishal

Smart Gains, Strong Returns is a comprehensive guide for investors, analysts, and finance professionals seeking to master one of the most powerful metrics in equity analysis-Return on Equity (ROE).

In today's fast-moving markets, where short-term speculation often overshadows fundamentals, ROE remains a timeless indicator of a company's ability to generate profit from shareholder capital. This book goes beyond surface-level formulas to explore ROE as a multifaceted lens through which to evaluate profitability, capital efficiency, and long-term value creation.

Inside, readers will discover:

The foundations of fundamental analysis and why ROE stands at its core

How to break down ROE into its operational, efficiency, and leverage components through DuPont analysis

The role of ROE in different industries, and why peer comparisons matter

How to apply ROE in valuation models such as the Gordon Growth Model and Residual Income Model

Real-world case studies of companies like Apple, Amazon, McDonald's, and Tesla

Practical strategies for screening high-ROE stocks and building robust, quality-focused portfolios

Key limitations and caveats to avoid misinterpreting ROE in a vacuum

Written with clarity and depth, this book serves both as a structured learning tool and a practical reference manual. Whether you're an investor looking to improve your stock-picking strategy or a student of finance aiming to sharpen your analytical skills, this book will equip you with a critical edge in understanding what truly drives shareholder returns.

• Format: Paperback
• Language: English
• ISBN: B0F9TWBZL3
• ISBN13: 9798285053439
• Release Date: May 2025
• Publisher: Independently Published
• Length: 104 Pages
• Weight: 0.33 lbs.
• Dimensions: 0.2" x 6.0" x 9.0"