Company selection strategy

[heisenberg]

I'd be interested to know what sort of strategies people on here use to whittle down the companies on the NZX and ASX to a smaller group which are worth further in-depth analysis? Do you have a clear systematic approach, or are you like me and just trundle through the masses until discovering something which looks decent?

[JBmurc]

this forum and others are a great place to get a list of companies worth looking at ....as many on here have done many hours of study can save you much more time that just going through hundreds of companies yourself...

[heisenberg]

this forum and others are a great place to get a list of companies worth looking at ....as many on here have done many hours of study can save you much more time that just going through hundreds of companies yourself...

I do this for any company I'm interested in, but even then it still involves a fair bit of forum trundling! What I'm interested in are some hard and fast rules for identifying companies worth a further look, eg NTA/share over current share price, average or below average PE

[stoploss]

I do this for any company I'm interested in, but even then it still involves a fair bit of forum trundling! What I'm interested in are some hard and fast rules for identifying companies worth a further look, eg NTA/share over current share price, average or below average PE

Hi helsenberg, Try searching on here for books that have been recommended .There are many that have been written that would help you .
Try- William J O'Neil "How to make money in stocks"

Cheers S/L

[heisenberg]

Hi helsenberg, Try searching on here for books that have been recommended .There are many that have been written that would help you .
Try- William J O'Neil "How to make money in stocks"

Cheers S/L. Interesting read on O'Neils CANSLIM system vs others around that day and age

www.thebull.asia/premium/a/18692-canslim-investing---does-it-really-work.html

And also Zweig's system

http://www.businessinsider.com/martin-zweig-growth-investing-screen-how-does-it-work-2011-7/

[Lewylewylewy]

There aren't that many companies on the NZX, you can just look through all in not that long. If you want to whittle them, look for ones that pay dividends and check them out. Or order them by value (ascending order) and go through the penny shares until you find one that might be a multi bagger.

Also, often shares that are doing well don't get discussed on the forum - just quiet happy holders.

Also, try reading through share lists based on industry types that interest you (healthcare, REITs, retail - whatever floats your boat).

[heisenberg]

As a follow up to this post, I eventually found an excel spreadsheet by 'NZ Share Guru' which allows you to enter a company's financial info/data and it screens it against the criteria of well known American investors (Ben Graham, David Zweig, Joseph Piotroski etc). Worked a treat so far. If anyone would like info on the spreadsheet feel free to send me a msg

[kelfy]

As a follow up to this post, I eventually found an excel spreadsheet by 'NZ Share Guru' which allows you to enter a company's financial info/data and it screens it against the criteria of well known American investors (Ben Graham, David Zweig, Joseph Piotroski etc). Worked a treat so far. If anyone would like info on the spreadsheet feel free to send me a msg


Sounds great. Please msg me. Thanks.

[Valuegrowth]

http://www.fool.com.au/2012/02/28/4-stock-picking-strategies-that-have-worked-for-decades/

https://www.youtube.com/watch?v=jGlvLXE82ug

[spudgun]

I'd be really interested to take a look at the spreadsheet. I found NZ Share Guru's Facebook page but it seems there's no-one home there anymore. Please let me know how to get hold of it.

[ratkin]

I'd be really interested to take a look at the spreadsheet. I found NZ Share Guru's Facebook page but it seems there's no-one home there anymore. Please let me know how to get hold of it.
https://sellfy.com/p/KfYB/ (https://sellfy.com/p/KfYB/)no idea if download works

[spudgun]

Sorry for the delay. Thanks, but no the download doesn't work, I've been trying occasionally for a few weeks. I've left a few messages on his facebook page too but never had any response. Seems the guru has moved on.

[Joshuatree]

Worked for my iMac

[Jay]

Worked for my Win 10 PC a month or so ago once I paid the $2

[h2so4]

I manually screened the ASX once.A to Z
Here's what I screened for.
PE < 10
Market Cap > $250m
Book value > 0
Profit margin >20
10 years positive cashflow.
Pay off debt in 2 years based on earnings.
Debt ratio assets/current liabilities at least 2
Long term debts not greater than net current assets.

[Schrodinger]

Top down (Macro) combined with a bottom up (Micro) is useful. Commodities linked to cycles and then companies that can benefit from that is one way to do it.

Depends on your background though as deep sector knowledge can be useful if you can spot trends before other people. Suggest using this strategy in the USA market as they (company) have a higher chance of taking advantage of the trends.

[Grunter]

I'm a fan of factor investing, so screening stocks by a certain factor (say value) and then those stocks by another factor (say momentum) and so on and so forth until you arrive at a group of stocks that rank highly in the given factors. That will be my portfolio