Introduction
Start with the business.
A repeatable research process can keep attention on evidence instead of excitement.
1. Understand the model
What does the company sell, to whom and at what economics? If you cannot explain the model simply, keep learning.
2. Read the financials
Look at revenue quality, margins, cash flow and debt across several periods. One strong quarter is not a full thesis.
3. Study the competition
A durable advantage should be visible in customer loyalty, cost, distribution, brand or capability.
4. Consider the price
Valuation translates expectations into a price. Ask what must go right for the current price to make sense.
Conclusion
Write down what would change your mind. Every stock carries risk, and research is a way to make that risk more visible.
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