Golden Nuggets

• 1). Grab a copy of the Sunday edition of "Investor's Business Daily" newspaper and turn to the New America section. The New America section is a profile of companies that have not been discovered by major financial institutions on Wall Street but that have new technologies or services that make them up and coming leaders in their fields. Take note of companies that are on the cutting edge of what they do and serve their markets so well that they are beginning to develop a following of loyal customers.
  
  
• 2). Go to the Yahoo Finance website and plug in the stock symbol of the company your are researching. Pull up all its financial data and price history. Go to the "Financial" tab on the left-hand footer and mark down how many shares are publicly traded. Multiply those outstanding shares by the current stock price, as quoted by the stock market exchange on which it is traded. That total will give you the market capitalization of the company. In other words, this is what the market has determined as the value for this company.
  
  
• 3). Go to the financial section at Yahoo Finance for the same stock and look up its net asset value. If this value is higher than the market cap, the company's current asset value is higher than the overall market's assessment of its value. If this is true and the company serves its market better than its competitors do and is on the cutting edge of its industry, you have a potential home run and may want to consider investing in it.