In my quest to become a better investor I have just read Phil Oakley's book
'How to pick quality shares' by HH , the book was good with lots of information on EBIT , Free cash flow etc . I am trying to create a stockopedia screen based on his ratios .
Is there anyone out there that has successfully done this and perhaps could send me a link or email me ? as I am finding it difficult to create .
Ian,
I've update the screen here
https://www.stockopedia.com/screens/hq1-349203/
Regards
Des
My screen is here it is work in progress not sure if I have got it right happy to amend
It's interesting to compare Oakley's approach with Minervini.
For me personally, the Oakley approach makes more sense than Minervini's.
Hi Everbody
I assume we are talking about this - How to Pick Quality Shares: A Three-Step Process for Selecting Profitable Stocks
https://www.amazon.co.uk/How-Pick-Quality-Shares-Three-Step/dp/0857195344/ref=sr_1_1?ie=UTF8&qid=1522258444&sr=8-1&keywords=Phil+Oakley
Not read yet but from the feedback on this post - it must be a good read
Hi
As a subscriber to both (Sharescope Gold and "Normal" SharePad (i.e. delayed prices, some of the benefits of SharePad in particular which haven't been mentioned include:
1) Access to full end of day price info for individual or groups of shares / indices etc in a list (upto 20 years in excel friendly text fies (Open, High, Low, Close, Adjustment & Volume).
2) Automatic access to USA & All European info (plus Commodities, Bonds, Economic Data etc) without an extra fee.
3) Filters that are far more sensitive to variation than Stockopedia's - e.g you chose how many Trading days are use to calculate RSI and other indicators - without restriction.
4) Ability to create custom lists and Tables, along with settings (e.g. a setting for Equity Growth, Value etc. to supplement the preset options..
5) Superb graphs on both platforms with extensive overlays, indicators etc.
6) They run free periodic invite sessions where users can drop in for training
7) They also have options which include live prices and Level 2 - if that is your thing.
By the way - I have no connection to them, and I am happy to subscribe to Stockopedia
Yes, I concur with other feedback - a great screen DMG2305 and a a nice addition to copy to the "My Sreens" link. I think you've done a great job there. Some lovely choices thrown up by 'your' screen.
I like it.
I like it a lot :)
Also it proves that Stockopedia is very flexible and even if you only approximate in transcribing a system to a stocko screen you can get to: good enough. And it also proves why I love Stockopedia - just look at the overwhelming high scoring StockRanks of those shares that came up - all 'top-rankled' (well 90% of them) and already identified by Stocko without the need for further ado and ready for the investor to mull over without fear of selecting an out-and-out dud. It's Stockopedia for me.
Sharepad/scope is okay (tried the 3 month trial beforehand yonks ago, but couldn't get on with it) - but took to Stockopedia like a duck to water. And above all else it has the ultimate secret weapon - It's got a built-in defence against the Homer Simpson's amongst us - just blindly select ANY share at or as near above StockRank 90 as possible - and 9 times out of 10 - Bob's your uncle, job done :)
- it's what Ed's done with his 2018 NAPS selection (which I'm monitoring on a monthly basis).
Personally I think it's a poor use of funds to spend on two services that are very similar in what they deliver - (The screen by DMG demonstares that fact - the contents of Phil Oakley's book don't require a specific service to rapidly access selections from his criteria).
Also, in my case, In addition to being a subscriber to Stockopedia I've used allocated funds to subscribe to a specialist charting service that not only has up to 20 years of price action info but provides live prices on UK stocks (small additional fee) - and covers not only the UK but USA/Canada/India/and a handful of European markets, with saved charts and saved indicators that are endlessly adjustable, so one-click for everything once set up to personal preferences including saved equity chocies (watchlists) without tiresome re-entering every day. I think for me, it's a better use of funds as both Stocko and Sharepad's charts are okay - but I prefer my specialist charting service.
Doesn't matter which of the two you prefer, but I find Stocko is as easy or as complex as you choose it to be - just couldn't get comfortable with Sharepad/Scope - but it's okay. In the end it comes down to a matter of choice; not that of which one is better - but more a case of which one do you 'get on with'?
If Phil Oakley's book comes up cheap secondhand on ebay - I'll nab it but that's near impossible at the moment as it's so new - (can't move for my collection of investing books built up over the years and I'm thinking of adding yet more? [danger of analysis paralysis? As after awhile they all sound like basic common sense that a professional investor might use - there is no secret bullet that one person has in his or her book only, that no one else in the world has yet to think of - they're all pretty good; I have enough of them on my shelves LOL].
- in the meantime you have Phil Oakley's excellent work nicely on a screen for you - curtesy of DMG2305 - so thank you DM! It's a screen that's a worthy addition, to add up there, under the "Screens" drop-down button.
Tony - clicked on your screen link - the link works - but something's incorrectly set within it - no shares have been selected, and I can't access your filters to see what's-what, but something's preventing the shares from displaying - are you getting shares shown on your own computer?
Thanks for your feedback Velo,
Always nice to be complimented!
Hopefully the screen will help achieve some outperformance in my portfolio this year!
Kind Regards
DM
Hi DM.
Thanks for posting the screen and to other contributors who have suggested refinements. I already hold a few of the shares and have been considering others so I am on a similar wavelength. One thing I did notice is that the selection is very heavily “QM” focused and that a lot of the shares have low V scores; essentially good companies but perhaps a little expensive. Fine in the prevailing bull market that we’ve had in the past few years but in a more volatile environment these High Flyers can often sink quickly. I’ve not yet read Phil’s book, but is there anything in there about the benefit of buying at an optimal entry price and if so, maybe add a parameter to cover this (maybe some sort of PE/PEG hurdle?).
Thanks again.
Gus.
Hi Gus,
There is tonnes written on valuation in the Phil Oakley book, you could start another screen just on valuation alone with the detail! My favourite valuation metric is EY which is what I've used on the screen. I think you could easily use the PEG ratio aswell and see how you get on. I'll try that one aswell. This is a high quality screen no doubt and the shares down at the bottom (as I've ranked it using EY) are expensive but they are impressive! (BVXP for example which I bought about a month ago on no news and am now up 10% to 15% following a recent positive update). I am trying to select shares that I think will be strong compounders over the long term (I am investing my pension funds). If I was looking for more favourable value shares I'd be leaning towards REC and SOM (towards the top of the screen) which I also hold, when you take into account the high ROCE, margins, cash conversion together with decent dividends its hard to look elsewhere (IMHO). In terms of entry price, I try and buy the shares in and around or below their 50 day MA but I'm not really that into timing that much. Just a few thoughts.
Hi Velo
Try this https://www.stockopedia.com/screens/phil-oakley-ish-screen-408753/
I was having a problem stocko are looking in to it
Hi Nick ,
Thanks for you feedback I am at the moment trying to create the screen and have amended as per your suggestion , not sure what to put in the "FCF PS" though ?
https://www.stockopedia.com/screens/phil-oakley-ish-screen-408753/
One thing I think Stocko has over Sharepad is the excellent stocko community as shown by all the helpful comments in the subject alone
I've been looking at your screen and wondering why it has only picked 2 out of Phil Oakley's 5 Quality FTSE 350 shares, the 5 are: Moneysupermarket.Com (LON:MONY), Jupiter Fund Management (LON:JUP), Compass (LON:CPG), Diploma (LON:DPLM), Brewin Dolphin Holdings (LON:BRW). Portmeirion (LON:PMP) is on the AIM. So it only selects 2/6. The main reason is the Piotroski F-Score > 6 rule, 2 are 6 and Portmeirion (LON:PMP) is 5. Compass (LON:CPG) fails on 3 counts. The 2 that pass are Diploma (LON:DPLM) and Jupiter Fund Management (LON:JUP).
I will now go into Sharepad and see if I can find out why there are only 6 shares selected.
I see today Hilton Food (LON:HFG) and SThree (LON:STHR) have been select on the Phil Oakley's Quality list and Moneysupermarket.Com (LON:MONY) has gone.
Thanks for mentioning the book. I've 'speed read' it and had a go at my own screen.
https://www.stockopedia.com/screens/po-quality-410573/
It doesn't pick up any UK shares but does get a few 'high quality' candidates when extended to Europe.
The sales growth streak and EPS growth streak are the main issues. Toggling them off produces 10 UK candidates.
Dominos, the subject of much of the book, passes 15/17 criteria ...
Thanks Humour me I have had a look at this and compared with my screen , yours seems better I think you were able to implement more rules than me -thanks again.
I think the most important lesson from the book is to not overpay (which isn't part of the screen). When making screens I always have this https://www.stockopedia.com/ratios/ open in another tab and make extensive use of the search box.
My thoughts are it is probably more productive to use the quality stocko factor screen with a valuation criteria and be prepared to sell if things become fully valued. However, that aside, the book is an excellent introduction to fundamentals.
DMG,
I've just been developing my own screen so found yours very helpful! Thanks for your work.
The only thing I've added to mine so far is a Capex Per Share less than 0.3x Operating Cash Flow Per Share. Phil briefly covers this on page 59 of the book. I appreciate the ROCE filter is likely to get rid of a lot of poor performers in this regard.
