100x Stock Screener Criteria

1. Rule of 40: The Rule of 40 should be greater than or equal to 40.
2. Expected Return (PS Ratio Valuation): The expected return should be in the range of 20-50%, with a preference for 30-40%.
3. Return on Equity (ROE): ROE and ROIC should be greater than 30%.
4. Revenue Growth: The company should have a revenue growth rate of more than 10% at least 3 years.
5. Profitability Preference: Preference will be given to profitable companies. If a company is not profitable, it should still pass the Rule of 40 or have a significant portion of recurring revenue.
6. Management/Director Stock Ownership: Management or director ownership of company stock should be valued at more than $100 million.
7. Sustained Revenue Growth: The company should demonstrate a pattern of continued revenue growth.
8. Valuation: Before buying stock, it is essential to verify whether the valuation is overvalued or undervalued. This can be checked using tools suchas Gurufocus and SimplyWall.st
9. Free Cash Flow Margin: Free cash flow margin should be greater than 20%
10. Long-Term Net Profit Margin: Long-term net profit margin should be greater than 20%
11. Low Debt: Debt-to-Equity ratio (D/E) should be less than 3.0.
12. Strong Cash Position: Cash-to-Debt ratio should be greater than 0.3.
13. Marketshare: Low marketshare < 10% in high TAM (Total Addressable Market)
14. High R&D Budget: High R&D Budget > 15%
15. Low Stock Dilution: New issued stock, ESOP < 2% per year
16. No Profit Manipulation: Beneish M-Score <= -2.2
17. Short Sell Ratio: Lower is better < 5%
18. Portfolio Optimization: Use Entropic Value at Risk (EVaR) or Entropic Drawdown at Risk (EDaR) to weight the stocks in the portfolio. Use Gerber statistic as covariance estimator and James-Stein as expected value estimator. After testing, use EVaR with a 9 - 12 month lookback period and a 10% target maximum drawdown. Preferred negative kurtosis and positive skewness.
19. Supertrend Indicator: Use the Supertrend indicator for weekly and monthly to determine an uptrend and select the stock.
20. Employee Review: Read employee reviews from Glassdoor or Indeed to get more insight into the company.
21. Price Chart: Use line break chart, renko and kagi to confirm uptrend.

Please note that these criteria are used to screen potential investment opportunities for high-growth potential stocks.