Dear Richard- It was you that told me I would not find protein in fundy analysis- I did not believe you. I also agree that stronger companies do better than weaker companies in the long run.
Howard brings up some good points although his data is a bit scattered- I couldn't figure out what was what within it. I assume Price to Sales Ratio in a select group gave him 32% gain in calendar 1997.
It is very hard to measure based upon a calendar year unless you buy and hold as he does.
The market- Dow and Nasdaq went up 22% in 1997- IMO 32% and 22% are not a significant enough variance to make me go bananas. However, I am not sure I can find a 12 month scan which can best those numbers. I tried a simple stochastics scan- and got 24.1% average gain in 1997- also in line with indexes.
My guess i s that a dahl scan would also give similar results.
And I could not backtest price to sales or revenue per share- because qp2 only provides these values for today- not a prior period. Thus am not sure how howard tested these numbers.
the stochastics scan I used was:
output="stocross.lst";
float pctgain;
pctgain:=((close(-121)/close(-374))-1)*100;
set stochastic = 89,34,3;
if close(-374)>1 and StochasticPctK(-374) > 15 and stochasticPctK(-374)<30 and stochasticPctK(-374) > stochasticPctK(-379) then
println symbol,",",close(-374):6:3,",",close(-121):6:3,",",pctgain:5:3;
endif;
gonzongo |
