How to Avoid Loss and Earn Consistently in the Stock Market: An Easy-To-Understand and Practical Guide for Every Investor

by Prasenjit Paul

Considering other parameters remain same, ROE of 18% is better for investors than the ROE of 12%.

I prefer stocks with improving ROE or companies having ROE of more than 20%.

Avoid stocks having debt to equity ratio more than 1 (increasing) and ROE less than 12% (decreasing over the last few years).