Fraud and manipulation are one of the top concerns investors have when investing in stocks from smaller and more unprofitable companies.

If a company’s financial statements can’t be trusted, there will be little to base your investment thesis upon. 

Hence, having some tools to detect manipulation and fraud can be very helpful.

In this article, I’ll be exploring two techniques to detect such behaviour.

But before we dive into the techniques, it is important to note that fraud and manipulation aren’t just committed by small companies…

Disclaimer: Opinions expressed in the article should not be taken as investment advice. Please do your own due diligence.

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