Finding that Multi-bagger

For the past few months, I have been reflecting on my past investment strategies, successes as well as losers. The recent 1/2 time financial reporting session has casted some lights my selection of the new investments I have made over the past year or so. i.e. Adampak, Bright Orient, CG Tech & Pacific Healthcare.

Having acknowledged and learnt about the #1 Investment Rules, and the power of concentration (vs diversification) on investments, I'm setting some basic but compulsory criteria that must be met before making applying those investment principles:

Financial Ratios
1. Gross Profit Margin > 25%
2. Net Profit Margin > 10%
3. DSO < 90 days
4. DSO - AP Turn is less than 30 days
5. ROE at least 15%
6 Gearing less than 30%
7. Current purchase price> 40% calculated Instrinsic Value
8. Dividend yield > 3%