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Each day at investors.com, the Screen Of The Day presents a list of stocks worthy of further research. But what's the best way to pare down the list?
The first step is to call up the IBD Stock Checkup for each company. The various ratings tell you how strong the stock is vs. the rest of the market and its respective industry group.
The best stocks tend to be the best performers in their industries, so it's good to find those that include "Best in Group" marks. The five best-rated stocks in the group are shown in the checkup, too.
This tool will help you study other important facets, such as the stock's industry group rank, its Earnings Per Share Rating, Accumulation/Distribution Rating, three-year earnings and sales growth rates and up vs. down volume.
Next, consult an IBD chart. Just because a stock has high ratings and performance indicators doesn't mean you ...