Investing Made Simple by Will The Geek

Proven Solutions

Investment methods used by some of the most successful investors in the history of the stock market, Made Easy.

Stock Market Value Investment Strategies

Value Strategy One

This strategy looks for a basic set of fundamental values that indicate a strong, well managed company with good prospects to rise. These companies are most undervalued by the investment community due to any number of reasons, including just being overlooked or perhaps are not among the newest glamor stocks.

Select from the top 25 to 50 stocks.

Factors:
  • Low Price to Book Ratio
  • Low Price to Earnings Ratio
  • Low Price to Sales Ratio
  • Low Price to Cash Flow
  • High Enterprise Value to EBITDA ratio
  • In the top 10 to 20 percent for all these factors

Value Strategy Two

Much like Composit Value Strategy One, this strategy takes advantage of all the same value factors but adds Shareholder Yield to the mix. This means that the company is returning extra value to its shareholders in the form of dividends and is also repurchasing its own shares. Both of these increase the future value of your investment.

This strategy has the best performance with the lowest risk of any of the All Stocks strategies.

Select from the top 25 to 50 stocks. Factors:

  • Low Price to Book Ratio
  • Low Price to Earnings Ratio
  • Low Price to Sales Ratio
  • Low Price to Cash Flow
  • High Enterprise Value to EBITDA ratio
  • High Shareholder Yield
  • In the top 10 to 20 percent for all these factors

Value Strategy Three

Similar to Composite Value Strategy Two, but with this strategy you don't care about dividends. In this case we use only the Buyback Yield. This means that the company is returning extra value to its shareholders by purchasing shares in the open market.

Select from the top 25 to 50 stocks.

Factors:
  • Low Price to Book Ratio
  • Low Price to Earnings Ratio
  • Low Price to Sales Ratio
  • Low Price to Cash Flow
  • High Enterprise Value to EBITDA ratio
  • High Buyback Yield
  • In the top 10 to 20 percent for all these factors

Composite Value Strategy (Trending Value Strategy)

This value strategy combines the best aspects of Value Strategy with price appreciation. The result is a strategy with outstanding performance any yet with lower risk than the stock market itself! In the last 40 years, it has never had a five year period in which it lost money. High returns does not always entail greater risk. And this strategy proves it.

Select from the top 25 to 50 stocks with the best six month price appreciation.

Factors:
  • Member of the All Stocks Universe
  • Best Six Month Price Apperciation
  • In Upper 10% of Value Strategy Two:
    • Low Price to Book Ratio
    • Low Price to Earnings Ratio
    • Low Price to Sales Ratio
    • Low Price to Cash Flow
    • High Enterprise Value to EBITDA ratio
    • High Shareholder Yield