I love the idea of a StockRank portfolio and facinated by Edward Crofts recent Building a StockRank Portfolio webinar. One thing that ocurred to me was that once a share has reached the giddy heights of having a 99 StockRank, a part of the growth story may have been missed. Would there be any use in looking at the historical StockRank of shares that have already reached, for example, a score of 90, and seeing how fast it is increasing or decreasing over time. This would enable you to identify those shares that are growing with increasing momentum towards the 99 mark and get in as they are growing into their peak as opposed to taking a chance of getting at 99 when they are already AT their peak. This could also then result in a much lower turnover of shares during re-balancing a portfolio as the shares would remain in the portfolio from when its score went from say 95 to 99.
An example would be DART (DTG). Its only just hit a StockRank of 99, rising 15 in tha past 30 days. It has doubled in value since March 2015. I wonder if monitoring its StockRank during that period would have identified at a 99 stockrank of the future and allowed you to cash in on the 100+% growth. Investing now however, begs the question "are they already at their top?
I do appreciate the the concept of StockRank already includes Momentum as well as Value, which suggests that they arent yet at their peak. I just wonder if this might give an additional measure to help find some rising stars.
I'd love to hear if anyone has any opinions on this and if in fact its possible to prove or disprove the theory.
