What Stocks Would You Pick In This Volatile Market?
By The Smart Investor  •  June 20, 2022
If you could go back in time to the start of this year, which of the following groups of real-life companies would you be interested to invest in? Table 1 below shows the historical revenue and free cash flow for the two companies in Group 1, namely, Company A and Company B. It’s clear that Company A has not grown its revenue much over the past four years and its free cash flow has also not been steady. Meanwhile, Company B’s revenue has barely budged and although its free cash flow has improved in every year, there’s only so much juice that can be squeezed from improving the free cash flow margin*. Source: Tikr Next we have Table 2 below, which shows the historical revenue and free cash flow for Group 2 consisting of Company C and Company D. Both companies have displayed excellent revenue growth for 2017 to 2021, with Company C quadrupling its revenue and Company D increasing its...
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By The Smart Investor
The Smart Investor is co-founded by David Kuo, Joanna Sng, and Chin Hui Leong. The company was formed in late 2019 from the ashes of the Motley Fool Singapore. The Smart Investor believes that everybody can learn how to invest, smartly. We aim to educate people on how to invest smartly by providing investing education, stock commentary and market coverage for Singapore and around the world.

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