Magic Formula Investing Weekly Roundup 7/31/2010
Magic Formula Investing (MFI), as described by hedge fund manager Joel Greenblatt in The Little Book that Beats the Market, consists of ranking stocks by earnings yield (cheap) and return on capital (quality), adding the rankings together, and buying from the resulting lists. Below are stocks that have moved into, and dropped out of, 3 of the MFI screens used by MagicDiligence:
Entering the 50 over 50 million screen: ARO - Aeropostale Inc.
BDSI - BioDelivery Sciences International Inc COCO - Corinthian Colleges Inc.
CSGS - CSG Systems International Inc. GRMN - Garmin Ltd KIRK - Kirkland's Inc
RTN - Raytheon Co.
TRMS - Trimeris Inc TSRA - Tessera Technologies Inc VALU - Value Line Inc
Dropping out of the 50 over 50 million screen: AHCI - Allied Healthcare International Inc. CBI - Chicago Bridge & Iron Co. NV CYTK - Cytokinetics Inc ELNK - EarthLink Inc EME - EMCOR Group Inc. ENDP - Endo Pharmaceuticals Holdings Inc IDCC - InterDigital Inc JCOM - j2 Global Communications Inc PDLI - PDL BioPharma Inc
VPHM - ViroPharma Inc
Entering the 50 over 1 billion screen:
ABC - AmerisourceBergen Corp GIB - CGI Group Inc. KBR - KBR Inc
MANT - ManTech International Corp MHP - McGraw-Hill Companies Inc. (The) UIS - Unisys Corp
Dropping out of the 50 over 1 billion screen:
DGX - Quest Diagnostics Inc DNB - Dun & Bradstreet Corp (The) ENDP - Endo Pharmaceuticals Holdings Inc IDCC - InterDigital Inc MCK - McKesson Corp
MO - Altria Group Inc
Entering the 30 over 3 billion screen: GIB - CGI Group Inc. KBR - KBR Inc MHP - McGraw-Hill Companies Inc. (The) OSK - Oshkosh Corp
Dropping out of the 30 over 3 billion screen: DNB - Dun & Bradstreet Corp (The) GD - General Dynamics Corp
HRS - Harris Corp MCK - McKesson Corp