Creating Your Own Stock Ranking System (Update)

In December I wrote an article (here) detailing how to create your own stock ranking system using Excel (or Open Office) and a free data source such as Finviz.

I used one fundamental factor, Price to Earnings Growth ratio (PEG), and two technical factors, 1 and 3 month returns, to rank all available stocks which trade at least 50k shares per day and a price over $1.  For fun, I decided to track the returns of the top stocks on this list on the right hand side of the blog in the spreadsheet titled "Example of a Stock Ranking System".

Below are the returns of the top 10 stocks in the list.  The top 10 returned an average of 13.62%, the top 50 10.68%, and the top 100 8.14%.  Not too shabby!  I have also include returns for some popular ETFs over the same period.  All returns excludes dividends, commissions, and taxes and are strictly hypothetical.

Question for readers: Any requests on a system to try and track for the next month or so? Keep it relatively simple, using data available on the Finviz screener page.

Symbol	Company		12/20/10 Open	1/27/11 Close	Return
RAS	RAIT Financial Trust	Stock Picks	2.22	2.73	22.97%
THC	Tenet Healthcare Corp.	Stock Picks	6.66	6.74	1.20%
CBPO	China Biologic Products, Inc.	Stock Picks	15.91	16.05	0.88%
CHBT	China-Biotics, Inc.	Stock Picks	14.18	14.47	2.05%
ASYS	Amtech Systems Inc.	Stock Picks	24.69	26.75	8.34%
NCT	Newcastle Investment Corp.	Stock Picks	5.81	7.05	21.34%
KLIC	Kulicke & Soffa Industries Inc.	Stock Picks	7.45	9.98	33.96%
ARIA	Ariad Pharmaceuticals Inc.	Stock Picks	4.62	6.63	43.51%
NOR	Noranda Aluminum Holding Corp.	Stock Picks	12.7	14.45	13.78%
ICGE	Internet Capital Group Inc.	Stock Picks	13.83	12.2	-11.79%

System	ETFs
Top 10 Avg:	SPY
13.62%	4.29%
Top 50 Avg:	VBR
10.68%	1.77%
Top 100 Avg:	GTAA
8.14%	2.15%

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