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 (-0,09 %)
$MSFT (-0,64 %)
$GOOGL (+0,48 %)
$META (-1,58 %)
$UNH (+2,26 %) (I removed this because the PE LTM was too close to 40)
$NFLX (-1,91 %)
$QCOM (+0,38 %)
$PGR (+0,26 %)
$BKNG (-0,49 %) (I removed this one total return 5Y was too close to 100%)
$LRCX
$KLAC (-2,46 %) (added the next one to replace the removed one)
$HCA (-0,86 %) (same)
I know that in January the screener results maybe wouldn't be these, and that most companies are the easy ones, but... 30% returns YTD, without using the 10 best performance of the SP500 YTD ($NVDA (-3,22 %) , $VST (-4,41 %) , $SMCI , $HWM (-1,62 %) , $CEG , $TRGP (+0,51 %) , $LLY (+0,02 %) , $IRM (+0,42 %) , $NRG (-1,88 %) , $GDDY (+0 %) 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/
