Magic Formula Investing Weekly Roundup 9/19/2010
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:
CJJD - China Jo-Jo Drugstores Inc GXDX - Genoptix Inc MGIC - Magic Software Enterprises Ltd
Dropping out of the 50 over 50 million screen:
CSGS - CSG Systems International Inc. KIRK - Kirkland's Inc RST - Rosetta Stone Inc
Entering the 50 over 1 billion screen: GIB - CGI Group Inc. JCOM - j2 Global Communications Inc WTW - Weight Watchers International Inc.
Dropping out of the 50 over 1 billion screen: CRI - Carter's Inc. GPS - Gap Inc. (The)
TER - Teradyne Inc.
Entering the 30 over 3 billion screen: LPS - Lender Processing Services Inc
Dropping out of the 30 over 3 billion screen:
ABC - AmerisourceBergen Corp