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 WBT 30.69 26.28 47.76 29.78 18.93 Producer Manufacturing Industrial Machinery
2 CLW 30.43 44.64 37.5 31.25 8.33 Process Industries Pulp & Paper
3 CHX 30.3 28.43 28.31 34.23 30.25 Process Industries Chemicals: Specialty
4 ADNT 30.19 32.15 35.78 43.78 9.04 Producer Manufacturing Auto Parts: OEM
5 GHM 29.96 48.67 17.7 19.18 34.28 Producer Manufacturing Industrial Machinery
6 WSC 29.87 19.41 33.9 28.55 37.62 Finance Finance/Rental/Leasing
7 EXTR 29.81 22.74 38.36 47.05 11.11 Electronic Technology Computer Peripherals
8 NI 29.74 24.14 11.89 35.88 47.06 Utilities Gas Distributors
9 LPTH 29.66 21.99 22.06 17.71 56.86 Electronic Technology Electronic Components
10 USX 29.41 78.59 20.9 12.03 6.13 Transportation Trucking
11 NEE 29.31 4.66 52.28 33.17 27.13 Utilities Electric Utilities
12 CVGW 29.21 19.32 30.75 24.26 42.51 Consumer Non-Durables Food: Specialty/Candy
13 XPO 29.12 22.99 24.31 58.34 10.83 Transportation Trucking
14 RCMT 29.11 23.96 29.71 23.7 39.05 Industrial Services Engineering & Construction
15 AVTR 28.66 10.06 53.19 39.68 11.71 Process Industries Chemicals: Specialty
16 TREX 28.57 0.0 45.24 21.43 47.62 Non-Energy Minerals Forest Products
17 BBBY 28.51 30.38 14.91 22.81 45.94 Retail Trade Specialty Stores
18 NWSA 28.48 18.89 39.68 26.79 28.57 Consumer Services Publishing: Newspapers
19 SND 28.12 66.67 0.0 0.0 45.83 Non-Energy Minerals Construction Materials
20 GPK 27.93 51.35 20.26 23.46 16.67 Process Industries Containers/Packaging
21 IQV 27.75 8.93 37.5 56.25 8.33 Health Services Services to the Health Industry
22 MG 27.7 38.95 26.71 32.76 12.38 Industrial Services Engineering & Construction
23 MO 27.64 20.0 55.56 35.0 0.0 Consumer Non-Durables Tobacco
24 CLAR 27.32 16.28 20.13 14.55 58.33 Consumer Durables Recreational Products
25 MCO 27.08 33.33 16.67 25.0 33.33 Commercial Services Financial Publishing/Services
26 ENR 26.93 31.0 23.39 26.64 26.67 Consumer Non-Durables Household/Personal Care
27 TPIC 26.9 10.88 36.75 43.08 16.89 Producer Manufacturing Electrical Products
28 GRPN 25.81 8.58 33.65 49.33 11.68 Retail Trade Internet Retail
29 HL 25.65 27.99 30.68 23.93 20.0 Non-Energy Minerals Precious Metals
30 TSQ 24.98 12.1 32.49 52.41 2.9 Consumer Services Broadcasting
31 FND 24.65 11.11 33.33 12.5 41.67 Retail Trade Home Improvement Chains
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 SPGI 22.92 16.67 33.33 25.0 16.67 Commercial Services Financial Publishing/Services
35 MNTX 22.83 24.08 25.43 14.32 27.49 Producer Manufacturing Trucks/Construction/Farm Machinery
36 MNRO 22.8 25.2 20.24 27.2 18.54 Retail Trade Specialty Stores
37 SSTI 22.13 4.42 28.32 26.16 29.63 Electronic Technology Aerospace & Defense
38 KBAL 21.44 5.13 19.17 13.54 47.92 Consumer Durables Home Furnishings
39 JW.A 21.25 8.33 26.67 36.66 13.33 Consumer Services Publishing: Books/Magazines
40 PBI 20.84 14.29 38.1 7.14 23.81 Producer Manufacturing Office Equipment/Supplies
41 JW.B 20.83 6.67 26.67 36.66 13.33 Consumer Services Publishing: Books/Magazines
42 SRLP 20.26 5.04 38.72 14.06 23.23 Industrial Services Oil & Gas Pipelines
43 GT 20.14 55.56 11.11 8.34 5.56 Consumer Durables Automotive Aftermarket
44 CULP 20.14 38.89 0.0 0.0 41.67 Process Industries Textiles
45 GWRS 19.56 6.06 14.39 13.34 44.45 Utilities Water Utilities
46 ARKO 18.92 15.85 2.56 3.85 53.42 Retail Trade Food Retail
47 KSU 17.86 14.29 4.76 28.57 23.81 Transportation Railroads
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 14.58 38.33 13.33 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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