@QCompounding: I like to use Finchat to scree...

@QCompounding
45 views May 22, 2024
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I like to use Finchat to screen for Quality Stocks:

• Revenue growth > 7%
• Earnings growth > 9%
• ROIC > 15%
• Profit Margin > 10%
• Operating Cash flow / Earnings > 90%
• Net Debt / EBITDA < 3

Here are 15 stocks that match these criteria:
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1. Apple ($AAPL)

Apple is the largest company in the world which manufactures, and markets smartphones, personal computers, tablets and wearables .

- FCF Margin: 25.4%
- ROIC: 299.8%
- FCF Yield: 3.5%
- Expected yearly FCF Growth (3 yr): 4.3%
- CAGR since IPO: 34.1%
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2. Microsoft ($MSFT)

Microsoft operates as a software company. Word, Excel … are all applications of $MSFT. Their cloud segment grows very fast.

- FCF Margin: 36.7%
- ROIC: 28.1%
- FCF Yield: 2.3%
- Exp. yearly FCF Growth (3 yr): 12.7%
- CAGR since IPO: 22.7%
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3. Alphabet ($GOOGL)

Google has a monopoly in digital advertisements. Munger once stated that $GOOGL has one of the widest moats he has ever seen.

- FCF Margin: 29.5%
- ROIC: 23.9%
- FCF Yield: 4.2%
- Exp. yearly FCF Growth (3 yr): 12.4%
- CAGR since IPO: 22.7%
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4. Mastercard ($MA)

Mastercard provides financial transaction processing services for credit and debit cards.

- FCF margin: 48.0%
- ROCE: 188.5%
- FCF yield: 3.0%
- Expected FCF growth (3 yr): 15.8%
- CAGR since IPO: 31.0%
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5. Novo Nordisk ($NOVO)

Novo Nordisk is active in diabetes treatment. More and more people will suffer from diabetes due to our aging population and obesity.

- FCF Margin: 34.6%
- ROIC: 62.0%
- FCF yield: 3.1%
- Exp. yearly FCF Growth (3 yr): 14.4%
- CAGR since IPO: 19.9%
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6. ASML ($ASML)

ASML is a monopolistic player in semiconductor chip machines through lithography. Over the next years, demand for semiconductors will explode.

- FCF margin: 53.4%
- ROCE: 41.5%
- FCF yield: 1.7%
- Exp. FCF growth ( 3 yr): 18.3%
- CAGR since IPO: 25.3%
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7. Visa ($V)

Visa is a great quality business with a wide moat and incredible profit margins. When you invest in Visa, you invest in a strong secular trend.

- FCF margin: 60.2%
- ROCE: 105.3%
- FCF yield: 3.5%
- Exp. FCF growth (3 yr): 15.5%
- CAGR since IPO: 22.3%
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8. Adobe ($ADBE)

Adobe is a true compounding stock active in computer software products and technologies allowing users to express information across all media.

- FCF margin: 43.6%
- ROCE: 125.2%
- FCF yield: 2.8%
- Exp. FCF growth (3 yr): 20.0%
- CAGR since IPO: 17.6%
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9. Regeneron Pharmaceuticals ($REGN)

Regeneron is a biopharma company active in pharmaceutical products for the treatment of serious medical conditions.

- FCF Margin: 35.6%
- ROIC: 19.2%
- FCF yield: 5.0%
- Exp. yearly FCF Growth (3 yr): 3.5%
- CAGR since IPO: 12.1%
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10. Fortinet ($FTNT)

Fortinet provides network security solutions. The Company offers network security appliances, software, and subscription services.

- FCF Margin: 18.2%
- ROIC: 59.9%
- FCF Yield: 2.6%
- Exp. yearly FCF Growth (3 yr): 23.7%
- CAGR since IPO: 33.0%
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11. Old Dominion Freight ($ODFL)

ODFL is the 4th largest less-than-truckload carrier in the US. It's one of the most efficient providers in the industry.

- FCF margin: 12.6%
- ROIC: 36.8%
- FCF yield: 2.2%
- Exp. yearly FCF growth (3 y): 2.8%
- CAGR since IPO: 19.8%
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12. Copart ($CPRT)

Copart provides vehicle suppliers with services to sell vehicles . The company dominates the market for online car auctions.

- FCF margin: 24.0%
- ROCE: 27.4%
- FCF yield: 2.2%
- Exp. FCF growth (3 yr): 8.2%
- CAGR since IPO: 20.0%
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13. Evolution AB ($EVO)

Evolution AB operates as a gaming company. The Company delivers fully integrated B2B live casino solutions to online casino operators.

- FCF Margin: 52.9%
- ROIC: 21.5%
- FCF Yield: 4.8%
- Exp. yearly FCF growth (3 yr): 14.6%
- CAGR since IPO: 72.3%
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14. Accenture ($ACN)

Accenture PLC is a consultancy company with management and technology consulting services and solutions.

- FCF Margin: 14.3%
- ROCE: 80.1%
- FCF Yield: 4.0%
- Expected yearly FCF Growth (3 yr): 8.9%
- CAGR since IPO: 16.4%
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15. Zoetis ($ZTS)

More people are treating their pets as a full family member, and Zoetis fully benefits from this with animal health medicines and vaccines.

- FCF margin: 22.3%
- ROCE: 32.9%
- FCF yield: 2.5%
- Exp FCF growth (3 yr): 10.6%
- CAGR since IPO: 20.9%
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That's it for today.

If you sign up to my newsletter, you get access to a PDF with 100 (!) examples of Quality Stocks.

Sign up here: compounding-quality.ck.page/afee7ce56b
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