Here’s my selection of fifty stocks that scored lowest in my screening – for details see below. Briefly, for each stock from NYSE and NASDAQ for areas were assessed: Valuation (V), Profitability (P), Growth (G) and Health (H); then, the overall score (here: Score) was calculated and what you see below is an ordered list of worst scoring stocks.

A listing of top 50 stocks is available there.

Enjoy and don’t forget to leave a comment!

# Ticker Total V P G H Sector Industry
1 CLW 30.43 44.64 37.5 31.25 8.33 Process Industries Pulp & Paper
2 ADNT 30.19 32.15 35.78 43.78 9.04 Producer Manufacturing Auto Parts: OEM
3 WBT 29.92 25.53 47.91 27.5 18.74 Producer Manufacturing Industrial Machinery
4 CHX 29.84 27.67 27.31 33.5 30.89 Process Industries Chemicals: Specialty
5 GHM 29.77 47.95 18.74 18.09 34.3 Producer Manufacturing Industrial Machinery
6 NI 29.74 24.14 11.89 35.88 47.06 Utilities Gas Distributors
7 LPTH 29.66 21.99 22.06 17.71 56.86 Electronic Technology Electronic Components
8 WSC 29.48 19.29 34.06 28.03 36.54 Finance Finance/Rental/Leasing
9 USX 29.41 78.59 20.9 12.03 6.13 Transportation Trucking
10 NEE 29.31 4.66 52.28 33.17 27.13 Utilities Electric Utilities
11 BBBY 29.0 30.67 13.36 24.81 47.15 Retail Trade Specialty Stores
12 RCMT 28.81 24.31 29.71 22.19 39.05 Industrial Services Engineering & Construction
13 XPO 28.7 21.32 24.31 58.34 10.83 Transportation Trucking
14 TREX 28.57 0.0 45.24 21.43 47.62 Non-Energy Minerals Forest Products
15 EXTR 28.5 17.47 38.36 47.05 11.11 Electronic Technology Computer Peripherals
16 NWSA 28.48 18.89 39.68 26.79 28.57 Consumer Services Publishing: Newspapers
17 AVTR 28.21 9.3 52.56 39.02 11.96 Process Industries Chemicals: Specialty
18 GRPN 27.99 11.27 47.47 47.7 5.51 Commercial Services Advertising/Marketing Services
19 IQV 27.75 8.93 37.5 56.25 8.33 Health Services Services to the Health Industry
20 MG 27.74 39.11 26.71 32.76 12.38 Industrial Services Engineering & Construction
21 MO 27.64 20.0 55.56 35.0 0.0 Consumer Non-Durables Tobacco
22 GPK 27.41 50.31 22.76 21.28 15.28 Process Industries Containers/Packaging
23 CVGW 27.34 16.76 27.46 22.65 42.51 Consumer Non-Durables Food: Specialty/Candy
24 TPIC 27.24 11.05 36.75 44.27 16.89 Producer Manufacturing Electrical Products
25 CLAR 27.21 16.28 19.68 14.55 58.33 Consumer Durables Recreational Products
26 MCO 27.08 33.33 16.67 25.0 33.33 Commercial Services Financial Publishing/Services
27 ENR 26.58 29.63 23.39 26.64 26.67 Consumer Non-Durables Household/Personal Care
28 HL 25.65 27.99 30.68 23.93 20.0 Non-Energy Minerals Precious Metals
29 TSQ 24.98 12.1 32.49 52.41 2.9 Consumer Services Broadcasting
30 BBW 24.98 32.42 17.61 13.23 36.67 Retail Trade Specialty Stores
31 CULP 24.66 44.45 0.0 12.5 41.67 Process Industries Textiles
32 CENT 24.3 11.11 44.44 25.0 16.67 Consumer Non-Durables Consumer Sundries
33 DIS 24.0 7.14 13.33 33.33 42.22 Consumer Services Cable/Satellite TV
34 MNRO 23.2 25.61 19.4 29.24 18.54 Retail Trade Specialty Stores
35 SPGI 22.92 16.67 33.33 25.0 16.67 Commercial Services Financial Publishing/Services
36 MNTX 22.74 23.72 25.43 14.32 27.49 Producer Manufacturing Trucks/Construction/Farm Machinery
37 SSTI 22.13 4.42 28.32 26.16 29.63 Electronic Technology Aerospace & Defense
38 FND 21.88 0.0 33.33 12.5 41.67 Retail Trade Home Improvement Chains
39 PSMT 21.67 40.0 0.0 0.0 46.67 Retail Trade Discount Stores
40 PBI 20.84 14.29 38.1 7.14 23.81 Producer Manufacturing Office Equipment/Supplies
41 SRLP 20.26 5.04 38.72 14.06 23.23 Industrial Services Oil & Gas Pipelines
42 GT 20.14 55.56 11.11 8.34 5.56 Consumer Durables Automotive Aftermarket
43 GWRS 19.56 6.06 14.39 13.34 44.45 Utilities Water Utilities
44 ARKO 18.92 15.85 2.56 3.85 53.42 Retail Trade Food Retail
45 KSU 17.86 14.29 4.76 28.57 23.81 Transportation Railroads
46 JW.A 17.08 8.33 26.67 20.0 13.33 Consumer Services Publishing: Books/Magazines
47 JW.B 16.67 6.67 26.67 20.0 13.33 Consumer Services Publishing: Books/Magazines
48 JELD 16.47 25.4 9.53 21.43 9.53 Non-Energy Minerals Forest Products
49 SWK 15.27 0.0 33.33 16.66 11.11 Consumer Durables Tools & Hardware
50 M 12.92 38.33 6.67 0.0 6.67 Retail Trade Department Stores

Methodology

For each stock from NASDAQ and NYSE scores are calculated for each of the following areas:

  • Valuation
  • Profitability
  • Growth
  • Health

The scores are calculated using the indicators shown in colored boxes above. For instance, to assess stock’s profitability, Return on Assets (ROA), Return on Equity (ROE) and Net Margin are taken into account. The algorithm looks up the value of ROA in every stock belonging to the same industry and compares it against the analyzed stock, providing a final rank: if there are 20 stocks and 5 of them have higher ROA, then the ROA-associated score is (20-5)/20 * 100 = 75, meaning that the ROA is better than in 75% of stocks. We want ROA to be higher than in the other companies; sometimes, however, we want the indicator’s value to be lower than in peers, as is the case with Price to Book ratio (P/B).

In the next step, the mean score across ROA, ROE and Net Margin is calculated. Similar calculations are done for stock’s Valuation, Growth and Health. The algorithm starts with Valuation score, then it proceeds with Profitability, Growth and Health scores. Finally, the mean value across all four areas of interest are calculated.

 

Disclaimers

  • What you see here is my personal opinion and should not be treated as an investing advice
  • I’m not an expert stock analyst nor financial advisor

 

Michał, the Investing Scientist.

 

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