The Five Questions
A structured way to check a company across five dimensions before deeper research.
In Simple Words
The 5-Question Formula asks five focused questions about a company — covering business strength, market confirmation, valuation, shareholder return and financial health — and combines the answers into a score. Passing the threshold means 'research further', not 'guaranteed investment'.
Why It Matters
It forces you to look at several dimensions instead of fixating on one metric, reducing blind spots.
Key Terms
How durable and profitable the company's core business appears.
Whether price action and momentum appear to support the fundamentals.
How the company returns cash to shareholders (dividends, buybacks).
How to Interpret It
If four questions score well but 'financial health' is weak, the company may be growing aggressively on debt — a reason to dig deeper, not to reject outright.
Beginner Mistakes
- Thinking 'passing' means you should buy.
- Ignoring the weakest question because the total score is high.
Try It Yourself
Run the 5-Question Formula on one company in Warifin (Africa Intelligence). Note which question is strongest and which is weakest, and what each tells you.
Key Takeaway
Passing the formula means 'research further' — never 'guaranteed investment'.
Open the real tool to practice.
Knowledge Check
Choose an answer, then check.1. Passing the 5-Question Formula means…
2. Why look at all five questions?
Next Lesson
Ranking ≠ Recommendation
AI Rankings
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