Home Testing O-Metrix
Testing O-Metrix PDF Print E-mail
SeekingAlpha Articles - SA Articles
Written by Dr. Econ   
Tuesday, 12 August 2008 11:50

The O-Metrix Grading System is a very simple, yet extremely powerful method to rank stocks based on their future return potential. It is based on three simple parameters. Dividend yield, Earnings Growth and Price to Earnings Ratio. As an investor we want to purchase a high-growth, high-dividend company at a discounted price. Thus, the O-Metrix formula is based on following equation:

O-Metrix = 5 x (Dividend Yield + Earnings Growth) / PE Ratio

If you are a dividend-income oriented investors, use Double Dividend O-Metrix Score as such:

DD O-Metrix = 5 x (2 x Dividend Yield + Earnings Growth) / PE Ratio

I multiply the numbers by 5 to get a scale over 10.

Here is a a letter grading system:

  • 10+ : A+ Grade Stock
  • 8 to 10: A Grade Stock
  • 6 to 8: B Grade Stock
  • 4 to 6: C Grade Stock
  • 2 to 4: D Grade Stock
  • 0 to 2: F Grade Stock
  • <0 : Sub-F Grade Stock

As investors, it is our mission to find stocks with A+ scores. Such opportunities rarely exist. Always be on hunt. I back-test the model on specific sectors and the results are promising. Here, is a list of articles on sector by sector back-testing models on O-Metrix grading system:

A Back-Testing Model of the Best Technology Stocks for the Long-Term Investors

A Back-Testing Model of the Best Industrial Dividends for the Long-Term Investors (June 14, 2011) - (Caterpillar,Dover,General Dynamics, Raytheon, Lockheed Martin, Eaton, MMM, Boeing, Goodrich, etc.)

A Back-Testing Model of the Best Mid-Cap Basic Material Dividends for the Long-Term Investors (June 12, 2011) - (BP Prudhoe Bay Royalty Trust, Natural Resource Partners, Enbridge Energy Partners, Sunoco Logistics, Magellan Midstream Partners, Alliance Resource Partners LP, Alliance Holdings, etc.)

A Back-Testing Model of the Best Electric Utility Dividends for the Long-Term Investors (June 6, 2011) - (Atlantic Power, Dominion, Edison International, NextEra, Southern Company, Duke Energy, Progress Energy, etc.)

A Back-Testing Model of High Dividend Stocks for the Long-Term Investors (May 23, 2011) - (Apple, Cisco, Chevron, Telefonica, McDonald's, Walmart, General Electric, etc.)


Attachments:
FileDescriptionUploaderFile sizeLast modified
Download this file (FairValueFinalWeb.xls)O-Metrix CalculatorDownload Free O-Metrix CalculatorDr. Econ31 Kb10/09/11 12:03
Last Updated on Thursday, 20 October 2011 09:13
 

Comments  

 
0 #86 Denis 2016-10-06 17:22
Thank you, I have recently been looking for information approximately this
subject for ages and yours is the greatest I have found out so far.
However, what concerning the conclusion? Are you sure in regards
to the supply?

My webpage: http://hotelsnearme.club/: http://hotelsnearme.club/
Quote
 
 
0 #85 Winona 2016-08-11 05:51
The easy way ߋf raising your earning chances іs normally to up
grade your vip ɑnd mobile strike hack & cheats for unlimited gold unlimited
vip ɑnd unlimited gold fоr free: http://Amprom.org/index.php?option=com_k2&view=itemlist&task=user&id=770905 simply beϲause well to reach thе optimum collection.
Quote
 
 
0 #84 Rory 2016-07-29 17:37
trouvez une trans rapidement a nimes

my webpage Rencontre Trans: http://transexuel.123messenger.net/index.php
Quote
 
 
0 #83 Elisha 2016-05-22 12:52
If that you are operational for example a restaurant,
that's available for the folks on regular basis, then its so much easier to offer you message as
possible past it on doors facebook ads and click farms: https://www.facebook.com/business/products/ads windows or
walls for immediate visibility to people. You needs to have 5,000 fans
or maybe more prior to really start buying marketing.
Today if someone else yells "FIRE" within a public
space, you'll be able to expect individuals to react in panic, although the fire can not be seen.
Quote
 
 
0 #82 Van 2016-05-09 21:27
We агe thrilled tⲟ Ƅring in you to the initial released device on HackMeGame - mobile strike hack ɡet free gold gold
and vip: http://wsap.edu.pl/osrodkikariery/forumdyskusyjne/profile.php?mode=viewprofile&u=28148 Strike gem generator no activation code no download Device!
Quote
 
 
0 #81 Nestor 2016-04-30 13:06
For these types of successful individuals it took a good deal knowledge, skill and hard
work. It's the real difference between being ordinary and being extra ordinary.
You can perform it in your home office or anywhere for the matter.


my site - how old is donald Trump Age: https://en.wikipedia.org/wiki/Donald_Trump
Quote
 
 
0 #80 Windy 2016-04-06 17:56
What's Going down i'm new to this, I stumbled upon this I've found It positively
helpful and it has helped me out loads. I'm hoping to contribute & assist other customers like its
helped me. Good job.

Here is my blog post ... Tamer Uğurluel: https://www.cihan.com.tr/tr/hamleder-zeytinkoy-ile-ilgili-proje-hazirliyor-1133564.htm
Quote
 
 
0 #79 Mariano 2016-03-21 12:48
Trucchi Mobile Strike - how to get unlimited gold in mobile strike hack gold generator for
android ios - Fran: https://www.coursera.org/user/i/6abcd0b365ef02bba66372128bc7ba7c,
Strike oh yeah gelato gemme illimitati nuovo marchio che consente dalam ottenere Gemes
illimitate.
Quote
 
 
0 #78 Omar 2016-03-20 13:16
Beneat are some of the most latest conntent frm our blog section and are designed to offer understanding about
mobile strike crack, tricks, and leads how tto utilize it simply because well as general mobile strike hack add unlimited coins gold vip for android (Aaron: http://jameslepore.com/bb/discussion/66927/%EF%BB%BFfacts-fiction-and-cheat-on-mobile-strike) strike
Technique.
Quote
 
 
0 #77 Zook 2016-02-21 19:08
This is definitely an important test to complete, contemplating just how much time could possibly be spend on best of computer.
It can be a bit ironic what has best marketing point is that it doesn't have marketing.
Mattress yorktown va The ideal thing to are limited by tends to be that regard going to become the budget just like nothing
a lot more than another challenge.

They were the very first to create a tuftless mattress vermont: http://insyt.mobi/sms/category.php?name=www.mattresstop.com/best-mattress-spring-latex-memory-foam-air&site=mattresstop.com/best-mattress-spring-latex-memory-foam-air
and also to invest huge sums of greenbacks in polyurethane foam.
New technologies made it feasible for us to pick very best
feasible items accessible in industry.
Quote
 

Add comment

Comments are greatly appreciated.

Security code
Refresh

 
. .