Methodology

• Universe: 52,000+ globally-listed stocks tracked across 17 exchanges (US, TO, LSE, AU, XETRA, PA, AS, MC, TA, SG, HK, TSE, KO, NSE, SHG, SHE, IS) plus 20,000+ ETFs and funds. Scoring is computed on the qualified subset (currently ~30,000 stocks plus ~17,000 ETFs and funds meeting market-cap and listing-quality filters).
• Data source: EODHD financial APIs (fundamentals, price history, dividends, earnings).
• Refresh cadence: nightly recompute around 03:30 ET. Live prices update intraday on demand.
• Score range: 0–100 per pillar, where 50 is the cross-section median by construction.
• Coverage threshold: market cap > $250M for common stocks; ETFs scored separately.

Is the stock cheap or expensive relative to peers and its own history?

Inputs:

• Price-to-Earnings (P/E) — trailing and forward where available
• Price-to-Book (P/B) — most relevant for capital-intensive sectors
• Price-to-Sales (P/S) — used when earnings are negative or volatile
• Enterprise Value to EBITDA (EV/EBITDA) — capital-structure neutral
• Free Cash Flow yield — signal for cash-generative businesses
• Dividend yield — relevant for income strategies, not used as a sole signal

How the score is built:

• Each input is winsorised at 1st/99th percentiles to dampen outliers.
• Each cleaned input is percentile-ranked across the universe.
• The pillar score is the average percentile across active inputs (missing inputs are excluded, not zero-imputed).

Higher score = the stock looks cheap relative to peers on most multiples. A high valuation score alone is not a buy signal — see the Quality and Health pillars below.

Is this a durable, well-run business?

Inputs:

• Return on Equity (ROE) — 5-year average for trend signal
• Return on Invested Capital (ROIC) vs Weighted Average Cost of Capital (WACC) where computable
• Gross margin and operating margin — both level and 3-year trend
• Capital efficiency — net income relative to invested capital
• Accruals quality — flags earnings that diverge from cash flow

Higher score = capital-efficient business with stable margins. Used as the counterweight to a low Valuation score (a cheap-but-poor-quality stock is the classic value trap).

Is the business growing? Steadily?

Inputs:

• Revenue compound annual growth rate (CAGR) over 3y and 5y
• Earnings per share (EPS) growth over 3y and 5y
• Free cash flow growth
• Growth consistency — R² of the trend; penalises boom-bust patterns
• Forward growth estimates where reliable

Higher score = faster, steadier growth than peers. The consistency input is intentional — a 50% revenue spike followed by a 30% drop scores below a steady 8% compounder.

Could this business survive a downturn?

Inputs:

• Net debt / EBITDA
• Interest coverage (EBIT / interest expense)
• Current ratio (current assets / current liabilities)
• Altman Z-score — bankruptcy-risk composite
• Free cash flow / total debt

Higher score = balance-sheet resilience and low refinancing risk. A high Health score is what separates a long-term compounder from a leveraged turnaround that needs the cycle to cooperate.

The composite blends the four pillars into a single 0–100 stock-level score. Weights are documented per strategy preset (value-tilted, growth-tilted, balanced) and available via the screener's preset filter.

• A composite ≥ 70 with no single pillar < 40 is the "all-around quality" signal that drives the value-wall and screener defaults.
• A composite ≥ 80 indicates a stock in the top quintile across most pillars simultaneously — rare.
• Investors with a strict value tilt may filter on Valuation ≥ 70 alone; quality-focused investors weight Quality + Health.

Momentum is tracked but not part of the 4-pillar fundamental composite. It is surfaced separately as a Buy / Hold / Sell signal on each ticker page and is computed as:

• 12-1 month price return — the standard academic momentum factor (return over the last 12 months excluding the most recent month).
• Z-score normalised within sub-industry so the signal is peer-relative.
• Combined with a value-trap-risk indicator to suppress false positives in declining sectors.

Pillar scores are fundamentals; the momentum signal is price-action. Some users combine them, others ignore the signal entirely. Both are exposed.

• Fundamentals: refreshed nightly around 03:30 ET. New filings typically appear within 24–48 hours of the company filing.
• Prices: end-of-day close ingested nightly; intraday snapshots available on demand for individual tickers.
• Scores: recomputed after every fundamentals refresh. Score history is preserved for backtesting.
• Universe membership: re-evaluated weekly (newly-public tickers join, delisted tickers leave).

See our editorial standards for the correction policy and the publication review process applied on top of the data pipeline.

The full read API is documented as an OpenAPI 3 specification. See How to Use ShareValue.ai → Programmatic Access for the endpoint catalogue and rate-limit policy.