Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Greenblatt's Little Book That Beats The Market -- Ignore unavailable to you. Want to Upgrade?

To: Jurgis Bekepuris who wrote (188)	2/28/2013 11:20:44 PM
From: Shane M	Read Replies (1) \| Respond to of 218

Jurgis, Obviously I'm not privy to your process, but if you can go through that many companies that quickly I'd guess you use some fairly systematic evaluation processes that you can draw from to construct filters/screens around that would let you quickly get to companies that fit exactly the type of profile you are looking for. - ROE hurdle seems to be one strong component that is a must have to exclusion of other factors. - Another seems to be requirement of no losses in X yrs, or something similar. - some type of valuation criterion that could likely be approximated in a broad way, whether using a future value projection/extrapolation or whether more based in more common price multiple metrics. There's probably many more to add on top of that, but they much of that is likely already included in the screening of the universe to begin with. It might take a while to fine tune everything to allow your "interesting" companies through, and to exclude the ones you tend to discard, but it does seem likely to me that you have something screenable and model-able in what you're looking for. Certainly unique story-specific stocks don't fit a screened approach well, but it seems you have a systematic overlay that you're using that would be compatible. Anyhow, just my $0.02. and fwiw: It was time for me to add a bit to my portfolio, and based on Magic Formula approach I added about half positions in ORCL and CHKP.