AFAM

AFAM

Top Stocks Based on PEG/Momentum

Scott's Investments submits:I have begun conducting the following screen on a monthly basis. Early results have been positive, especially in a bullish environment like the current one. February's list is here and January's here. The screen looks for the following:

  • earnings growers still reasonably priced as judged by the PEG ratio
  • low debt
  • a history of high return on equity and investment, and
  • price momentum as gauged by the percentage the stock is trading to its 250 day high.

January's list returned 1.39% vs .57% for SPY. February's list returned a solid 11.78% vs. 6.77% for SPY. The top stock for February's list was Techwell (TWLL), which returned over 49% in one month. For the full list of stocks and results, please see the right hand side of Scott's Investments.Complete Story »

23 Magic Formula Stocks on Forbes' Top 200 Small Companies List

Steve Alexander submits:Every year, Forbes creates a list of the top 200 best small companies in America. To be eligible for the list, a company must have annual revenue between $5 and $750 million, be publicly traded for at least a year, and have a stock price of at least $5. The rankings are done based on earnings growth, sales growth, and return on equity. Forbes has found that this group of stocks has outperformed the benchmark Russell 2000 of small stocks by about 10% annually.This list is especially interesting for Magic Formula investors, as a staple of MFI is purchasing small-cap stocks, which are often under-followed and thus inefficiently priced in the market. Taking the Forbes list and pulling out the current Magic Formula stocks could find us some attractive investment ideas from the number of declining businesses or cyclical entities on the screen. Here is a table of current MFI stocks that appear in the top 200 list:Complete Story »

Best Performing Stocks of the Decade

Trader Mark submits:I emailed the the originator of this list, Eddy Elfenbein of Crossing Wall Street, to see what his parameters for "Top Stocks of the Decade" were and there was but one: The universe was any stock traded on a US exchange that had a price of at least 50 cents on 12/31/99. Complete Story »

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