Post #619 by mungofitch on the Mechanical Investing board

Investment Strategies / Mechanical Investing

Unthreaded | Threaded | Whole Thread (25)

Post New | Post Reply | Report Post | Recommend It!

No. of Recommendations: 5

I noticed a while back how haphazard the VL data was for ROE latest quarter. I re-checked it recently and found a lot of apparent garbage in the quarterly figures.

Yeah, I have never quite figured out that field.
If they are calculating the ROE based on a single quarter's earnings, it will be a wildly fluctuating figure, hence not very useful.
Using the trailing four quarters excluding extraordinary items would make some sense, but that's not easily available.
The annual "return on shareholders equity" field has its own issues, no doubt, but in testing it has always given pretty good results on average.
And the turnover is tiny.

Jim

Post New | Post Reply | Report Post | Recommend It!

Print the post

Unthreaded | Threaded | Whole Thread (25)

Prev | Next

Announcements

Mechanical Investing FAQ

Contact Shrewd'm
Contact the developer of these message boards.

A community forum supporting civilized, and highly helpful, self-educating investors that come together for Shrewdness and merry spirits. These message boards closely follow the look and feel of the old message boards at boards.fool.com prior to the boards redirected to discussion.fool.com. Shrewd'm is not affiliated with the comprehensive and excellent investment website, The Motley Fool (TMF), in any way. The Shrewd commmunity here has owed, and continues to owe, gratitude to The Motley Fool for nurturing a culture of jovial irreverence towards Wall St, and that tradition will continue here.