| StockFetcher Forums · General Discussion · Eval Dollar Profits | << 1 2 >>Post Follow-up |
| decipherlinda 133 posts msg #74881 - Ignore decipherlinda |
5/31/2009 4:04:03 PM I have found a way of evaluating stocks that works for me and wanted to share in case it would be helpful to someone else. I realized that BIDU, as an example, had a relatively low percent change for a given day and yet would net, say, $6 in profits that day. I wouldn't have looked at BIDU except for my familiarity with it. To keep that from happening, I decided to look at the market as though I had one week only to earn all the money I could on finding one stock for $1,000 investment. I divided $1,000 by the closing price of the stocks 5 days ago and multiplied the resulting number of shares by the profit it made during those 5 days. (I looked for stocks earning > $4.9999 in the last week.) By equalizing the stock price this way, I have found very profitable stocks that I wouldn't have with my other filters, many of them were "news to me." Sometimes it's the high priced stocks that are the best performers and sometimes it's the moderate or cheaper stocks. Then I evaluate the performing stocks on other criteria that are important to me. I realize I may be a simpleton but hopefully someone will find it useful. |
| chetron 2,817 posts msg #74884 - Ignore chetron |
5/31/2009 10:57:18 PM please share the names of these profitable stocks that you found tia chetron |
| decipherlinda 133 posts msg #74885 - Ignore decipherlinda |
6/1/2009 12:55:52 AM Assuming $1000 of a stock was purchased last Monday (5/25/09), I would have earned: GOOG $60 versus BIDU at $99 (per $1000). This analysis showed that if I had bought SOHU instead, I'd have $161 or $62 more than buying BIDU. Who would have thought? I discovered that a better bet would have been to buy JCG (apparel) for $311 in earnings in the past week. If I wanted to buy an Independent Oil & Gas company, I learned that my best bet (from this analysis alone) would have been to buy PXP for a cash gain last week of $205. The next highest earning stock in that industry was MCF at $119. Quite a difference. Instead, I might have considered SYNO (medical appliances equipment) for a gain of $443 on $1000 last week. I am interested in heavy construction and found that PLCP would have earned me $212 -- which my analysis shows to be the highest earning stock in that industry last week. I would check to make sure that the earnings for stocks I liked had consistent earnings versus one-day-wonders and that the volume was > some reasonably big number before I checked for industry strength and recent company news. Looking backwards for success is easy but I assume that even if earnings decrease (likely), they'll still be good although possibly/probably less. As we all know, all the information we have is historical. Thanks for asking the question and making me give better information. |
| chetron 2,817 posts msg #74893 - Ignore chetron |
6/1/2009 9:31:27 AM WHAT FILTER ARE YOU USING?????? TIA CHETRON |
| decipherlinda 133 posts msg #74895 - Ignore decipherlinda |
6/1/2009 11:04:06 AM Tia, here's the very simple filter but its not formatted right for sharing. I know you're great at writing code so you'll have no problem cleaning it up for your use to make it easier to interpret. Thing is, it's not the filter per se, it's the concept of equalizing the cost of stocks and looking at dollars vs percents. J > 4.9999 and close > 1.4999 set{A, 1000/close 1 day ago} set{P1, A*S} add column P1 set{B, 1000/close 2 days ago} set{P2, B*G} add column P2 set{C, 1000/close 3 days ago} set{P3, C*H} add column P3 set{D, 1000/close 4 days ago} set{P4, D*I} add column P4 set{E, 1000/close 5 days ago} set{P5, E*H} add column P5 set{F, 1000/close 6 days ago} set{P6, F*H} add column P6 set{S, close - close one day ago} add column S {-1} add column S 1 day ago {-2} add column S 2 days ago {-3} add column S 3 days ago {-4} add column S 4 days ago {-5} add column S 5 days ago {-6} add column S 6 days ago {-7} add column S 7 days ago {-8} add column S 8 days ago {-9} add column S 9 days ago {-10} set{G, close - close 2 days ago} set{H, close - close 3 days ago} set{I, close - close 4 days ago} set{J, close - close 5 days ago} set{K, close - close 6 days ago} set{L, close - close 7 days ago} set{M, close - close 8 days ago} set{N, close - close 9 days ago} set{O, close - close 10 days ago} add column industry |
| chetron 2,817 posts msg #74899 - Ignore chetron |
6/1/2009 11:22:47 AM THANX |
| cr0cop 87 posts msg #74933 - Ignore cr0cop |
6/2/2009 1:25:33 PM i dont get it can you explain a bit more please |
| decipherlinda 133 posts msg #74952 - Ignore decipherlinda |
6/2/2009 10:04:47 PM Our goal is how to make the most money from stocks tomorrow. If you decide you want to buy an Internet stock and you like both Google and Baidu equally but Google was up $6 in trading yesterday and Baidu was up $4, you might decide that Google is performing better so you'll buy it. But if you can find a way to account for the differences in price between Google and Baidu, you'd get a clearer picture. If you had bought $1000 worth of Google and it was (hypotheticaly) $350, you'd have bought 2.86 shares ($1000 / $350) (just go with me on this) and you'd have made $6 per share or $17.16 today in cash ($6 * 2.86 shares). If you had bought $1000 worth of Baidu and it was (hypothetically again) $150, you'd have bought 6.67 shares and you'd have made $4 per share or $26.68 today in cash ($4 * 6.67 shares). Now you're comparing Google at $17.16 and Baidu at $26.68 so it's easy to see Baidu is a stronger performer. If you look at percentages it's fine (as long as you can account for the differences in cost in your head) if you're just looking at one day but if you look at, say 5% today, 3.2% yesterday and 4.1% the day before, it's messy and you don't get the easy understanding you do with this method. Instead of trying to grasp the full picture when both the prices of the stocks and their % changes are different, you're looking at $17.16 versus $26.68. As you read in my second post, I didn't realize that SOHU actually outperformed both Google and Baidu Tuesday thru Friday of last week. By running this analysis, and then sorting by industry, I became focused on SOHU and its stronger performance. I knew of SOHU, I just wouldn't have guessed it was performing so well because its daily dollar earnings were so much lower than Google and Baidu. I'm just suggesting that this is an incredibly simple way of looking at stocks to put them on equal footing. It's so simple it's embarrassing but in math the simplest methodology is considered the best. |
| cr0cop 87 posts msg #74953 - Ignore cr0cop |
6/2/2009 10:12:19 PM i see thanks |
| 13th_floor 724 posts msg #74955 - Ignore 13th_floor |
6/2/2009 10:14:27 PM SOHU has very nice ADR30 of 4.65 for a higher priced stock...not many over 50's beat it |
| StockFetcher Forums · General Discussion · Eval Dollar Profits | << 1 2 >>Post Follow-up |
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