This scanner generates a list of companies that meet the criteria Henry Singleton’s stock selection method.

The results of Singleton’s leadership are self-evident. Under his stewardship, an initial investment of $450,000 transformed into a massive corporation. By 1981, the firm had generated a net income of $4.412 billion, with a compounded annual growth rate of 19% from 1970 to 1981.

Singleton believed that the key to successful investing was to identify stocks that were undervalued by the market. To do this, he relied on a combination of quantitative and qualitative analysis.

Scanner Rules:

  • Debt to equity < 1
  • Promoter holding > 40
  • Pledged percentage < 20
  • Market Capitalization >300
  • Operating cash flow 3years >7
  • Average return on capital employed 5Years >20
  • Average return on equity 3Years >20
  • Interest Coverage Ratio >3
  • PEG Ratio <1.1
  • Price to Free Cash Flow >0
  • Price to Free Cash Flow<60
  • Sales growth 5Years >10

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