Comments on: Magic Formula Results http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/ Contrarian Value Investing At Its Finest Wed, 03 Feb 2010 03:24:06 -0600 http://wordpress.org/?v=2.8.6 hourly 1 By: Jeff http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-19171 Jeff Fri, 04 Dec 2009 19:22:16 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-19171 Wonder if you or anyone else have tried to screen for magic formula stock using value line. I want to at least experiment with this because the one shortcoming I sense in the magicformula.com screener is that the stocks aren't ranked according to the formula in the book. They are simply presented in alphabetic order. If I can't buy all 30, I would think I would want to buy the highest ranked first. Thoughts? Wonder if you or anyone else have tried to screen for magic formula stock using value line. I want to at least experiment with this because the one shortcoming I sense in the magicformula.com screener is that the stocks aren’t ranked according to the formula in the book. They are simply presented in alphabetic order. If I can’t buy all 30, I would think I would want to buy the highest ranked first. Thoughts?

]]> By: Allie H http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-15250 Allie H Sat, 12 Sep 2009 09:35:10 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-15250 You're damn right it works. I came across some money from my wedding, ($15,000 to be precise) in May 2008. I thought I should put it away for my kids. I chanced upon Mr. Greenblatt's book and he makes total sense to me. I followed the book's recommendations exactly, and invested in 30 stocks randomly, from May '08 to Jan '09 (all through the horrible collapse) at one point my investments were worth one-third, but today Magic Formula has returned 30.2% vs. S&P's -26.8% (over the period May 22,2008 to Sept 11,2009) . The list of the issues bought were: May 22, 2008 Vaalco Energy May 22, 2008 American Software May 22, 2008 American Eagle Outfitters Jul 2, 2008 Lam Research Jul 2, 2008 Chinacast Education Jul 14, 2008 Biovail Corp Jul 14, 2008 Kla-Tenor Aug 12, 2008 Rocky Mountain Chocolate Ftry Aug 4, 2008 Lorillard Inc Aug 4, 2008 Microsoft Corp Sep 4, 2008 Bare Escentuals Sep 4, 2008 BP Prudhoe Bay Sep 24, 2008 Nucor Corp Sep 24, 2008 Darling Intl Corp Nov 5, 2008 Graham Corp Nov 5, 2008 CF Industries Holdings Nov 5, 2008 Radioshack Corp Nov 5, 2008 Chart Industries Dec 10, 2008 Mosiac Co Dec 10, 2008 CTC Media Dec 10, 2008 KHD Humboldt Wedag Dec 17, 2008 Manitowoc Inc Dec 17, 2008 Boeing Co Dec 17, 2008 Terra Industries Dec 17, 2008 Pediatrix Med Dec 17, 2008 Accenture Ltd Dec 17, 2008 National Oilwell Varco Jan 2, 2009 Mesabi Trust Jan 9, 2009 Broadvision Jan 9, 2009 Allied Healthcare I sold them as recommended by the book and bought some others that I dont have records kept, but will furnish them if needed. Thanks to Mr. Greenblatt for sharing his knowledge...such generosity I have not heard of. You’re damn right it works. I came across some money from my wedding, ($15,000 to be precise) in May 2008. I thought I should put it away for my kids. I chanced upon Mr. Greenblatt’s book and he makes total sense to me. I followed the book’s recommendations exactly, and invested in 30 stocks randomly, from May ‘08 to Jan ‘09 (all through the horrible collapse) at one point my investments were worth one-third, but today Magic Formula has returned 30.2% vs. S&P’s -26.8% (over the period
May 22,2008 to Sept 11,2009) . The list of the issues bought were:

May 22, 2008 Vaalco Energy
May 22, 2008 American Software
May 22, 2008 American Eagle Outfitters
Jul 2, 2008 Lam Research
Jul 2, 2008 Chinacast Education
Jul 14, 2008 Biovail Corp
Jul 14, 2008 Kla-Tenor
Aug 12, 2008 Rocky Mountain Chocolate Ftry
Aug 4, 2008 Lorillard Inc
Aug 4, 2008 Microsoft Corp
Sep 4, 2008 Bare Escentuals
Sep 4, 2008 BP Prudhoe Bay
Sep 24, 2008 Nucor Corp
Sep 24, 2008 Darling Intl Corp
Nov 5, 2008 Graham Corp
Nov 5, 2008 CF Industries Holdings
Nov 5, 2008 Radioshack Corp
Nov 5, 2008 Chart Industries
Dec 10, 2008 Mosiac Co
Dec 10, 2008 CTC Media
Dec 10, 2008 KHD Humboldt Wedag
Dec 17, 2008 Manitowoc Inc
Dec 17, 2008 Boeing Co
Dec 17, 2008 Terra Industries
Dec 17, 2008 Pediatrix Med
Dec 17, 2008 Accenture Ltd
Dec 17, 2008 National Oilwell Varco
Jan 2, 2009 Mesabi Trust
Jan 9, 2009 Broadvision
Jan 9, 2009 Allied Healthcare
I sold them as recommended by the book and bought some others that I dont have records kept, but will furnish them if needed.
Thanks to Mr. Greenblatt for sharing his knowledge…such generosity I have not heard of.

]]> By: No Purchases for June 2009- Learn Magic Formula Investing | Magic Formula Investing http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-10182 No Purchases for June 2009- Learn Magic Formula Investing | Magic Formula Investing Wed, 17 Jun 2009 00:18:46 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-10182 [...] were bad for Foostar and OK for CHCG. Now, sometime in the coming weeks I will be releasing my magic formula investing program. I hope to teach individuals how to properly use the magic formula and how to optimize the [...] [...] were bad for Foostar and OK for CHCG. Now, sometime in the coming weeks I will be releasing my magic formula investing program. I hope to teach individuals how to properly use the magic formula and how to optimize the [...]

]]> By: Weekly Links: June 14, 2009 | Dividends Value http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-10053 Weekly Links: June 14, 2009 | Dividends Value Sun, 14 Jun 2009 10:33:54 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-10053 [...] Contrarian Value Investing presented Magic Formula Results [...] [...] Contrarian Value Investing presented Magic Formula Results [...]

]]> By: alexg http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-10035 alexg Sun, 14 Jun 2009 00:08:12 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-10035 "Some just stick out so easily that as you mentioned, doesn’t require any math. I can just look at it and realise it is cheap." Ding, Ding, Sing or if you're into Microsoft BING BING BING I usually just look at ValueLine. It pretty much tells me everything. I will look at 10-Ks and stuff to see if anything fishy is going on but I don't analyze every SINGLE things. I can't complain about the results.... “Some just stick out so easily that as you mentioned, doesn’t require any math. I can just look at it and realise it is cheap.”

Ding, Ding, Sing or if you’re into Microsoft BING BING BING

I usually just look at ValueLine. It pretty much tells me everything. I will look at 10-Ks and stuff to see if anything fishy is going on but I don’t analyze every SINGLE things.

I can’t complain about the results….

]]> By: Jae Jun http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-10032 Jae Jun Sat, 13 Jun 2009 23:59:31 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-10032 I've found that going after the simple ideas have always worked the best. The more you need to think about it, the further away you should get from it. Some just stick out so easily that as you mentioned, doesn't require any math. I can just look at it and realise it is cheap. The only additional things I do is try to get a feel for management and how it compares with competitors. I dont fiddle with the math too much as well. I’ve found that going after the simple ideas have always worked the best. The more you need to think about it, the further away you should get from it.

Some just stick out so easily that as you mentioned, doesn’t require any math. I can just look at it and realise it is cheap.

The only additional things I do is try to get a feel for management and how it compares with competitors. I dont fiddle with the math too much as well.

]]> By: alexg http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-9957 alexg Fri, 12 Jun 2009 13:16:50 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-9957 Hey Jae, Yes, and the crazy thing is I don't use no fuzzy math, greek letters, anything like that. p.s. leave your site the way it is Hey Jae,
Yes, and the crazy thing is I don’t use no fuzzy math, greek letters, anything like that.

p.s. leave your site the way it is

]]> By: Jae Jun http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-9945 Jae Jun Fri, 12 Jun 2009 06:17:53 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-9945 Interesting returns. The one with basic security analysis is just annihilating everything. Interesting returns. The one with basic security analysis is just annihilating everything.

]]> By: alexg http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-9893 alexg Wed, 10 Jun 2009 12:45:00 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-9893 that would be correct that would be correct

]]> By: magic tech http://www.contrarianvalueinvesting.com/2009/06/06/magic-formula-results/comment-page-1/#comment-9880 magic tech Wed, 10 Jun 2009 03:36:47 +0000 http://www.contrarianvalueinvesting.com/?p=435#comment-9880 what is magic formula + tech? picking tech companies that come up in magic formula? what is magic formula + tech? picking tech companies that come up in magic formula?

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