Download the Schwab app from iTunes®Get the AppClose

  • Find a branch
  • Chat
To expand the menu panel use the down arrow key. Use Tab to navigate through submenu items.

Browse Topics:    Trading Strategies    Research & Analyze    

Trader Q&A: What to Look at When Picking a Stock

Schwab’s Trading Services Team discusses which basic fundamental data is most important when deciding to invest in a stock.

Sharpen Your Trading Skills With Live Education
Online Courses
Local Workshops

Follow us on Twitter

[John] So some of the basic fundamentals are to look at the earnings, the cash flow that a company generates, the revenue that they're generating. Now, are they generating more revenue year over year, quarter over quarter? Are their earnings going up year over year, quarter over quarter? If you don’t want to do all that homework yourself, we've got all that information on the website under our research staff.

 If you don't want to do that work, we've got third party research available to you. You can also use our Schwab equity ratings where we assess the fundamentals and we assess the momentum of the stock and we come up with a simple rating of A, B, C, D, or F and A's or B's are stocks that you want to consider investing in that we expect to outperform over the next 12 to 18 months. D's and F's are those that we expect to underperform.


   Was this helpful?  

Schwab has tools to help you mentally prepare for trading

Talk trading with a Schwab specialist anytime.
Call 888-245-6864
M-F, 8:30am - 9:00pm EST
Get 500 Commission-Free Online Equity and Options Trades for Two Years

Important Disclosures

Restrictions apply: The $4.95 commission does not apply to foreign stock transactions, large block transactions requiring special handling, or restricted stock transactions. All broker-assisted and automated phone trades are subject to service charges. A minimum deposit of $1,000 is required to open most Schwab brokerage accounts. Waivers may apply. See the Charles Schwab Pricing Guide for full fee and commission schedules. Employee equity compensation transactions are subject to separate commission schedules.