I use a service provided by Valuatum.com via Pörssisäätiö
to screen stocks listed in NASDAQ OMX Helsinki. I use the screen
periodically to check where our holdings stand relative to other
companies listed in Helsinki. Naturally I am also continuously screening
for new investment ideas.
The results of my personalized screen are disclosed below. I use
different criteria and weights than the default "Liisa's list" that is
featured in the pages of Pörssisäätiö. Often I check both lists to get
two different angles.
Our positions are marked with prefix ">".
Rank Company (Score)
----------------------------------------
>#1 Fortum (2,8)
#2 Orava Asuntorahasto (2,6)
#3 United Bankers (2,6)
#4 Restamax (2,4)
#5 Technopolis (2,4)
#6 Aspo (2,4)
#7 Tulikivi (2,3)
#8 QPR Software (2,3)
#9 Revenio Group (2,3)
#10 CapMan (2,2)
#11 Ponsse (2,2)
#12 Raute (2,2)
#13 Okmetic (2,2)
#14 Sponda (2,1)
#15 Keskisuomalainen (2,0)
>#16 Orion (1,9)
#17 eQ (1,9)
#18 Nokian Renkaat (1,9)
#19 Ilkka-Yhtymä (1,9)
#20 Siili Solutions (1,9)
...
>#21 Citycon (1,9)
>#23 TeliaSonera (1,9)
>#39 UPM (1,5)
>#67 Nokia (1,0)
>#74 Metso (0,9)
Average Score of all companies in the research database: 1,3
Average Score of our positions:1,7
Median Score 1,2
Our positions that have higher score than median: 5 out of 7
Worst Score 0,1 (#97 Biotie Therapies)
Parameters used in screen (weight):
-------------------------------------------
P/B estimate 2014 (13%)
P/E estimate 2014, 2015 (8%, 10%)
Dividend yield estimate 2014, 2015 (8%, 8%)
ROA estimate 2014 (10%)
ROI estimated 3 year average 2012-2014 (8%)
ROE estimated 3 year average 2013-2015 (8%)
Turnover estimated increase 2013-2015 (8%)
Net Profit estimated increase in 2013-2015 (8%)
Gross Margin estimate 2014 (8%)
Profit Margin estimate 2014 (8%)
The used parameters emphasize attractive valuation (31%), profitability
in broad sense (26% weight), growth (16%) and dividend yield (16%).
The screen relies on estimates about future. Those combined with
volatility of stock prices means that you should not try to chase
screens like these (I don't). Ultimately any investment decision should
be based on much more than just looking at the current numbers and
estimates of future numbers.
