Picks for a Mungofitch ROE screen. New month, new picks, likely adios. 10/1/2022

Picks for a Mungofitch ROE screen. New month, new picks, likely adios.

Picks for a Mungofitch ROE screen.

The picks in prio order, the HTD holdovers are lower case.
LNG, PDCE, ENPH, BLDR, WING, OVV, RRC, KLAC, FTNT, OXY, DBX, BMY,
STLD, IBP, NUE, WMS, ABBV, ADSK, SLM, AMN, AVGO, GDDY, POOL, LPX, it
Bypassed for holdovers: BCC

Picks in alpha order

ABBV    Abbvie Inc       134.21   Large Cap Pharma
ADSK    Autodesk Inc     186.80   Computer - Software
AMN     "Amn Healthcare" 105.96   "Medical Services"
AVGO    Broadcom Ltd     444.01   Electronics - Semiconductors
BLDR    Builders First    58.92   Building Prds Retail - Wsale
BMY     Bristol-Myers     71.09   Medical - Biomedical
DBX     Dropbox Inc       20.72   Internet - Services
ENPH    Enphase Energy   277.47   Solar
FTNT    Fortinet Inc      49.13   Security
GDDY    Godaddy Inc       70.88   Internet Services - Delivery
IBP     "Installed Buil"  80.99   "Building & Construction - Misc"
IT      Gartner Inc      276.69   Consulting
KLAC    K L A-Tencor C   302.63   Electronics Products - Misc
LNG     Cheniere Energ   165.91   Oil - US Exploration & Product
LPX     Louisiana-Paci    51.19   Building Products - Wood
NUE     Nucor Corp       106.99   Steel - Producers
OVV     Ovintiv Inc       46.00   Oil - C$ Exploration & Product
OXY     Occidental Pet    61.45   Oil - US Integrated
PDCE    Pdc Energy Inc    57.79   Oil - US Exploration & Product
POOL    Pool Corp        318.21   Leisure & Recreational Prdcts
RRC     Range Resource    25.26   Oil - US Exploration & Product
SLM     SLM Corp          13.99   Finance - Consumer Loans
STLD    Steel Dynamics    70.95   Steel - Producers
WING    "Wingstop Inc"   125.42   "Retail - Restaurants"
WMS     Advanced Drain   124.37   Building & Construction - Misc

The screen:
"One he has mentioned on several boards is various versions of this:
Using a broad market index (like S&P500 or VL1500 or Russell 1000)
Or using the Value Line stocks with any Timeliness. (About 1500).

Take only the 90% of the stocks closest to their 52-week high.
(Drop the farthest 10%.)

Take the top 100 by ROE%
and those with earnings >0 and book value is < 0 (regardless of ROE%

then of those, top 25 by 5 Yr sales Growth.
Re-evaluate and/or rebalance every 1 or 2 or 3 or 6 months.
Optional tweak, 15 HTD 25 or 25 HTD 30."

This list uses VL T1-5 list of stocks, limited to those in also in the Russell 1000 & Russell 2000 & SP500 & SP400. Data values from barchart.com.

11 Likes

Thank you for posting this. I don’t do MI, but I like to see what people post here and I also like this flavor of screen (though I haven’t attempted any action on it).

A few questions:

“book value is < 0”
Are you really selecting negative book value?

“15 HTD 25”
Can you please explain in more words what this means?

" This list uses VL T1-5 list of stocks, limited to those in also in the Russell 1000 & Russell 2000 & SP500 & SP400. Data values from barchart.com."
Can you please say a bit more about how you implement this screen? Is it all done in Barchart, or some combination of tools?

Thank you.