Ancient Greek has a saying, “Whom the Gods wish to destroy, they first praise highly”.
In the stock market, my saying is, “That which smart money wish to distribute, they will first push them up”.
Net tangible assets and intangible assets, like goodwill, patents and monopoly must also be taken into the calculation. The nature of its business, its dividend policy and whether it has a high-entry barrier is also important and must be considered.
A smart investor or speculator is able to exploit these situations. Can you do it? If you can, someday you will be rich. If you can’t, better start learning now, so that someday, you too can do it and be rich.
Good luck and Merry Christmas.