[SharePad] Screening For My Next Long-Term Winner: Games Workshop

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31 January 2019
By Maynard Paton

For this SharePad search I demanded companies that offered a history of fantastic earnings growth alongside a relatively reasonable valuation.

To narrow the field down further, I wanted only cash-rich companies that paid a dividend.

The exact criteria I used were:

  • Annualised earnings per share growth of at least 25% during the last five years;
  • A forecast P/E of no more than 20;
  • Net borrowing of zero or less (i.e. a net cash position), and;
  • A dividend yield greater than zero.

I added a fifth criteria to exclude house builders:

  • Not a member of the Home Construction sub-sector.

I don’t really class house builders as super-growth businesses, and no doubt they will crop up in future screens anyway. (Eight house builders were excluded from this search.)

Games Workshop stood out among the 23 matches.

I chose this company because:

  • I bought the shares at £8, and;
  • I have visited the company’s HQ and spoken at length with the executive management.

Read my full Games Workshop article for SharePad.

Maynard Paton

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