A key cash flow metric makes these stocks a smart buy, Ned Davis Research says

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Monster Beverage Corp. drinks.

David Paul Morris | Bloomberg | Getty Images

The finest technique for choosing stocks over the previous three a long time could also be on the peak of its powers proper now, based on Ned Davis Research.

Brian Sanborn, the agency’s senior vp for wealth administration, stated in a observe that the ratio of a firm’s free cash flow to its enterprise worth has been the perfect issue for choosing stocks since not less than 1988.

Investing in the perfect stocks by this metric has given a optimistic return greater than 64% of the time during the last 33 years, barely greater than the S&P 500, based on the agency.



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Ariel Shapiro
Ariel Shapiro
Uncovering the latest of tech and business.

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