It can be tough to sift through a bunch of companies to find out which ones make the best investments. That job just got much tougher with the COVID-19 pandemic. More than ever, safety and resilience are two important attributes that investors look out for. There are still businesses that are chugging along fine, some even thriving and growing despite the tough economic conditions today. As an investor, the challenge is to be able to identify these companies and add them to your portfolio. What aspects should you watch out for to determine if a stock is truly worth a second look? We present five signs you can look out for to find out if the stock you own is making good money.

1. Gross and net margins

Source: Shareinvestor WebPro First off, we look at both gross and net margins for the business. Healthy gross margins indicate that the...