Your comments

I get that conservative value investors that are less growth oriented (perhaps the grahamites) might say show me the money/profits first or this is a hogwash strategy, but actually for alot of companies that already have earnings and are growing, often do show Great sales and research multiples. 

Hi I apologize for the belated reply. I did not see this. So these two metrics are great ways to uncover hidden pharmaceutical and technology stocks. Price to sales ratio of below 1 and price to research ratios of below 10 are often excellent valuations. 


They help unmask a lot of companies that may not yet be profitable or are still growing their revenue. The p/s ratio and p/r ratio is what will help us figure out how much we should pay for a growing company we believe will some day be profitable in the future. 

Can you also do EV to FCF? I think you can see why EV to Sale and FCF are excellent things to add. Price to Research might be a little bit more specific and advance. BUT that is exactly what OSV caters to. 

Hi Jae! I just wanted to bump this and see if EV/Sales can be added. Highly recommend both though. 

But thank you for your hard work and continued commitment to OSV! Have a great Holiday! God Bless. 

What a great idea...wow. Yeah, this makes total sense. Jae, you have a great scoring system. There some metrics I don't necessarily agree with (like any other great system). For me, the biggest problem I have with the Action Score is the Growth part, GP/Assets in particular. I'm not entirely sure if this metric is the best vetter It knocks off a lot of great stocks that have good Value and Quality scores but because they don't show a good GP/Assets.

Now, here's the hard part: if you leave it up to us, there's also a lot of room for error. lol. Not everyone is Jae Jun who has a lot of experience in investment valuation. Just because I think this isn't good, doesn't mean it actually isn't good. Low P/Es outperforming is great proof of human errors in judgment and prediction. Just because people think this company isn't good and has no viable future doesn't mean that it's true.

But I am looking forward to seeing our own customizable action score. Maybe you can even provide suggested templates or variations!

Adding the PEG in the summary would be nice too. this is probably the single most important metric ever invented. (imo lol)

If anything, Jae, this should be a big plus. The Action Score got a 28% return historically for a reason. I think that this will help add more meat and proof to show how OSV can help value investors time the entries and exits much better. Because, a return like that, will likely mean the Action score figured out when fundamentals were improving well before the price advanced upwards. 

Thank you for your quick reply Jae!

This is an excellent suggestion! I see a lot of stocks that have run up a lot and OSV does indeed catch them before the huge run up. It would be nice it more specifically time period wise, because sometimes a lot of these undervalued stocks have only a few months as a window of opportunity.