Joel Greenblatt Magic Formula Stock Screen: Intersection of Warren Buffett & Ben Graham in One Model

Описание: YouTube Discount: https://validea.com/youtube

Introducing "Validea's Stock Screen of the Week," a series on the Validea YouTube Channel. Join us as we explore the strategies of renowned investors such as Warren Buffett, Peter Lynch, Ben Graham and many others. Each week, we'll showcase Validea's Guru Stock Screener, a tool that applies the wisdom of these investment legends and other fundamental strategies to assist in new investment idea generation. Discover how to uncover potential winning stocks by leveraging investment styles that range from value, growth, quality and beyond. This week we use the Magic Formula, developed and written about by Joel Greenblatt in his book, The Little Book that Beats the Market.

Today's Screen:
X Pass the Earning Yield Model with at least 90% (stocks are percentile ranked based on Earnings Yield and ROTC and then sorted based on the combined rank)
X Long-Term EPS Growth greater than 15%
X Trailing PE Ratio below 10
X Percent Below 52 Week High at least 20%
X Current Ratio greater than 2.0

Passing Names
BKE | BUCKLE INC
MBUU | MALIBU BOATS INC
TGLS | TECNOGLASS INC
WIRE | ENCORE WIRE CORP
UONEK | URBAN ONE INC
RGP | RESOURCES CONNECTION INC
STLD | STEEL DYNAMICS INC
DDS | DILLARD'S INC

Use the Guru Stock Screener Today
https://www.validea.com/guru-stock-sc...

About the Greenblatt-inspired Model
Validea used the investment strategy outlined in the book The Little Book That Beats the Market written by Joel Greenblatt to create our Earnings Yield Investor portfolio.

Greenblatt's approach looks only at the return a company generates on its capital, and at the firm's earnings yield (which is similar, but not identical to, the inverse of its price-earnings ratio). The Greenblatt strategy ranks all stocks in both of those categories, and then adds their numerical rankings together. The lower the combined numerical ranking, the better. (Our Greenblatt strategy invests in the 30 stocks with the best combined ranking.) Greenblatt's research shows that while beating the market is hard, it doesn't have to be complicated. The hard part comes not in developing a complex strategy, but instead in finding a proven approach and sticking with it through good times and bad. He stresses discipline as much as any of the gurus we follow.

Disclaimer
The use of the name of a financial analyst, identified as a "guru" represents the interpretation by Validea of that person's key investment analysis principles, as derived from published sources. The use of a guru's name does not mean that he personally endorses, or even agrees with any of the representations made with respect to specific securities as derived by Validea from its interpretation of his or her investment methodology. Validea IS an information service for financial institutions, investors and traders. Validea IS NOT an investment advisor, hence it does not endorse or recommend any securities or other investments. Market quotes and certain other information on this Site, as well as reference materials or links to other sites, have been carefully compiled from publicly available sources believed to be reliable and are for general informational purposes only. Accuracy or completeness of the information contained herein is not guaranteed and is not intended to be relied upon for transactional purposes. Neither Validea, its publishers, owners, investors, nor any of its data or content providers shall be liable for any errors or delays in the content, or for any actions, losses or damages, monetary or otherwise, taken in reliance of such information, judgements and opinions thereon.