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

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28 July 2021
By Maynard Paton

One of my favourite screening strategies is to hunt for attractive growth companies with unloved share prices.

The criteria I use for these searches are:

1. A negative share-price performance since the start of the year;
2. A compound 5-year earnings growth rate of 10% or more;
3. A forecast 1-year earnings growth rate of at least 0%, and;
4. Net borrowing of zero or less (i.e. a net cash position).

The other day the filters returned only 14 matches:

I selected ASOS because the company:

• Had the largest market cap on the list;
• Boasts an incredible growth story, and;
• Recently issued a trading statement that wiped 18% off the share price.

Read my full ASOS article for SharePad.

Maynard Paton