Consensus: Stocks That Pass the Most Screens

by John Bajkowski

Consensus: Stocks That Pass The Most Screens Splash image

This month’s First Cut filters for the stocks that passed the greatest number of strategies tracked by AAII. This process is accomplished by examining the results of every screen and identifying stocks passing more than one strategy. As of November 12, 2010, 1,024 stocks passed at least one of the 60 screens tracked by AAII. However, only 25 stocks passed four or more screens, and they are the stocks that made the First Cut this month. Note that some screens such as the growth-oriented O’Neil CANSLIM and the deep-value Graham Enterprising approaches did not have any companies that passed at the time of screening.

The stocks are first ranked by the number of screens passed and then by their price-earnings ratio. The price-earnings ratio (price divided by trailing earnings per share) is a basic valuation gauge. The earnings growth rate measures bottom line performance. Market capitalization (number of shares outstanding times the price) measures firm size. Stock price performance is highlighted with relative price strength ranks over the last 13 weeks and 52 weeks.

While you cannot automatically consider a group of consensus stocks to be a diversified portfolio, they may present a good First Cut for constructing your personal portfolio. Optimally, the group of screening approaches a stock passes is diverse enough to capture unique, yet desirable qualities. Further information on each of the screening strategies can be found at the Stock Screens

...To continue reading this article you must be registered with AAII.

Gain exclusive access to this article and all of the member benefits and investment education AAII offers.
JOIN TODAY for just $29.
Log in
Already registered with AAII? Login to read the rest of this article.

Register for FREE
to read this article and receive access to future AAII.com articles.
  
John Bajkowski is president of AAII.


Discussion

Ronald from New York posted over 3 years ago:

Why isn't a consensus screen inserted in to Stock Investor Pro ?


Ganesh from New York posted over 3 years ago:

Can you add consensus screen, as independent new 70th screen?


C from Texas posted over 3 years ago:

OK, I've been doong something similar by hand for quite a while. Tkae a lot of unnecessary time since it could easily be done by the computer, if we had such a program. How come there isn't a similar analysis available in Stock Investor Pro?


Walter from Florida posted over 3 years ago:

I think the investment results of this type of screen would be interesting!


CSarahan from District of Columbia posted over 3 years ago:

What has the return using the consensus approach?


Joan from New Jersey posted over 3 years ago:

IT WOULD BE NICE TO GET ANSWERS TO THE QUESTIONS POSTED UNDER DISCUSSION ABOVE.
WILL THE ANSWERS BE POSTED AT SOME POINT? WILL I BE NOTIFIED? PLEASE RESPOND TO JAMATRUDI@COMCAST.NET THANKS.


Gordon from North Carolina posted over 3 years ago:

why is your website slower than molasses in the wintertime, and why do I get an error message simply by clicking a link within your slow site??


Karen from Florida posted over 3 years ago:

Liked this article. Thank you.


W from Florida posted over 3 years ago:

I think it would be a good idea to list the top
ten or fifteen stocks that pass the most AAII screens each year in the January issue and the return on a portfolio of stocks listed from the previous January issue.


Donald from Florida posted over 3 years ago:

Me, thinks I will write a little excel formula for this.


Donald from Michigan posted over 2 years ago:

Here is a performance update for those that are interested.

http://seekingalpha.com/instablog/914029-dark-liquidity/169220-consensus-stocks-that-pass-the-most-screens


You need to log in as a registered AAII user before commenting.
Create an account

Log In