Mungofitch posted:
What would be interesting as an overlay:
An equally weighted portfolio of the universe of qualifying dividend payers that the YEY portfolio was using.

Here is the rolling 3-year graph with the addition of the qualifying dividend payers.
So the graph has the SP500 total return, YEY_SI top 10, and YEY-SI according to this screen:
gtr1.net: GTR1 Backtester - YLDEARNYEAR_SI
Comparing to the standard YEY-SI screen gtr1.net: GTR1 Backtester - YLDEARNYEAR_SI
Steps 4,5,6 are omitted, meaning without the ratio of dividend yield to PE and without the final sort.
GTR1 reports that an average of 1144 stocks had a dividend yield > 0.

1drv.ms: Microsoft OneDrive

It is clear that the ratio(cdy,cpe) top 10% and the final sort have a very large impact on the result.
Without those, the screen is a tad bit better than the S&P, but not a lot.
Other than that, I'm not sure what the conclusions are.

There was a period 1990-1997 where YEY_SI outperformed greatly, but the dividend yielders were just about the same as the index.
So in that period, the final steps added much value.
However, in 2016-2022 that is not the case, FWIW.

Mark