Use following points for picking up the stocks

1. Develop and rely on your own investment philosophy, criteria andmethod(s).
2. Develop and test your own personal system for selecting, buyingand selling.
3. Wait until your entry criteria are fully satisfied beforeinvesting. When your criteria are not yet fully satisfied, refuse toenter into the investment.
4. Be patient waiting for investments that fully satisfy your criteria.
5. Search only for investments that meet your criteria and do socontinuously. Accept only advice from experts you respect and ignore opinions of others.
6. Act instantly to enter an investment when you find one that fullysatisfies your criteria.
7. Hold your investment until your predetermined exit criteria isfully satisfied.
8. Consistently follow your investment philosophy, criteria and method(s). Don't hesitate or second-guess yourself.
9. Get out of investments entered into by mistake as soon as you notice the mistake.
Quotes:
Remember the First Law of Economics: For every economist, there is anequal and opposite economist--so for every bullish economist, there isa bearish one. The Second Law of Economics: They are both likely to bewrong.
by William Sherden
The best conditions for buying a stock are when it's unpopular, it'scheap, there's limited downside, it's relatively undiscovered, youunderstand the company and its business better than other investorsdo, and company management is incentivized to build shareholder value.
:by Tom Murcko
General Term
Book value :A company's common stock equity as it appears on a balance sheet,equal to total assets minus liabilities, preferred stock, andintangible assets such as goodwill. This is how much the company wouldhave left over in assets if it went out of business immediately. Since companies are usually expected to grow and generate more profits inthe future, market capitalization is higher than book value for most companies. Since book value is a more accurate measure of valuationfor companies which aren't growing quickly, book value is of moreinterest to value investors than growth investors.

Definition 2
The value of an asset as it appears on a balance sheet, equal to costminus accumulated depreciation.