Just wanted to share a little test I'm using as benchmark:
I selected by screener the biggest 10 companies by Market Cap with these parameters:
- ROIC > 15%
- Net debt / EBITDA LTM <3x
- Total return 5Y >100% (20% CAGR)
- PE NTM <40x
- Analysts Estimated EPS Forwards 5Y CAGR >12%
Equal weighted buying in January 2nd 2024
Results:
$AAPL (+0,8 %)
$MSFT (+1,44 %)
$GOOGL (+1,4 %)
$META (+0,36 %)
$UNH (-3,3 %) (I removed this because the PE LTM was too close to 40)
$NFLX (+1,06 %)
$QCOM (+1,17 %)
$PGR (-1,41 %)
$BKNG (+2,17 %) (I removed this one total return 5Y was too close to 100%)
$LRCX
$KLAC (+4,37 %) (added the next one to replace the removed one)
$HCA (+0,07 %) (same)
I know that in January the screener results maybe wouldn't be these, and that most companies are the easy ones, but... 30% returns YTD, without using the 10 best performance of the SP500 YTD ($NVDA (+1,56 %) , $VST (+1,18 %) , $SMCI , $HWM (+2,43 %) , $CEG , $TRGP (-0,25 %) , $LLY (+0,68 %) , $IRM (+1,18 %) , $NRG (-2,3 %) , $GDDY (-1,85 %) and no crypto,)
If I reached half of it every year, I will be very proud of myself.
Hope it helps
https://getqu.in/VGUQyv/
