Finding Investment Ideas By Screening Stocks and ETFs. Marc H. Gerstein [email protected] June 14, 2008. About me. Joined Market Guide in February 1999 as director of investment research. Market Guide was acquired by Multex, which in turn was acquired by Reuters.
Operating Margin comparison
ABC Co Industry Average
Trailing 12 Months (TTM) 8.6% 8.8%
5-year average 9.0% 11.5%
Even though ABC’s margins are slipping and were consistently below the peer average, we see that ABC’s “relative comparison” has become less unfavorable. This may reflect something uniquely positive at ABC
We can design and test rules that capture situations like this
Next, sort by weekly revision for Y2 and eliminate everything without an upward revision; this gives us a very usable 14-stock group. We can buy all, or review in depth one at a time.