How to spot a good stock: Does management walk the talk?

WHEN it comes to stock picking, most investors would first look at a company's financials.

Examining and maybe even projecting revenue and profits, calculating earnings multiples, and performing a peer analysis are bread and butter for those trying to identify a good investment through fundamental analysis.

Equally important, however, is evaluating company management. After all, these individuals are making the day-to-day decisions on how best to use the funds raised from investors.