According to Compounding Quality on Twitter, effective stock selection for trading focuses on firms with annual revenue growth exceeding 7%, EPS growth over 10%, free cash flow to net income ratios above 80%, profit margins greater than 10%, ROIC above 15%, and net debt to EBITDA under 3x (source: Compounding Quality, June 8, 2025). These metrics highlight fundamentally strong companies that are more likely to deliver stable returns and lower risk, which is valuable for traders seeking resilient equities that may outperform in volatile markets. Crypto traders should monitor stocks meeting these benchmarks for potential cross-market momentum, as institutional capital often shifts between high-quality equities and major cryptocurrencies during risk-on or risk-off cycles.