Make a portfolio
Make Stock Screening based those criteria
( I need to make a portfolio of 30-50 stocks, you have to choose stocks based those criteria and give me this list in schedule with reasons why you pick each stock in the list )
Our strategy will focus on identifying securities that are currently trading below their intrinsic value, as indicated by a multifactor valuation analysis. The strategy will focus on finding those firms which are undervalued based on the present value of the future cash flows to the firm and its shareholders.
- Dividend Yield – should be in the range of 1.0% to 3.5%
- Earnings Growth Rate – 15% to 20%, this is because the companies have opportunity to grow but have already grown enough for earning profit
- Market Cap – mid market so between $1 billion to 5 billion
- Debt to Equity Ratio (D/E) – 10% to 20%, the industry high is around 30% and low is below 10% so since the risk is moderate we would want D/E to be average
- Price to Earnings (P/E) – 7% to 20%, Below those of other comparable firms and industry averages
- Beta – 0.8 to 1.3
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