Look to the Bottom Line

James Oberweis of Oberweis Securities focuses on profits when adding to his fund. Among his picks: ScanSoft and Bradley Pharmaceuticals

The secret to successful investing in smaller stocks is to concentrate on companies that are profitable, according to James Oberweis, president of Oberweis Securities, which manages funds in the micro-, small-, and mid-cap areas. Selecting companies that are already profitable was one of the secrets of the Oberweis funds' success in emerging relatively unscathed from the market's declines, he says.

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