YWR: Global Factor Model
Disclosure: These are personal views, not investment recommendations to buy or sell a security. For investment advice seek professional help.
Time to find new ideas and trends.
It’s our monthly statistical review of the top ranked stocks from the YWR Global Factor model as well as observations on the changing trends.
We start with the Top 40 stocks on overall score (Estimate revision momentum, valuation and price momentum).
The full database and rankings are at the bottom of the post.
YWR Top 40
It’s strange.
We analyse 10 variables on over 3,000 companies and it all comes down to one ETF ticker.
One ticker which nobody owns and everyone hates. Or worse, nobody even thinks about.
A market coiled to make a move.
Other notables:
Anglogold Ashanti makes the list (Epic Buy Opportunity in Gold Miners.)
Lots of trucks and heavy equipment (Sinotruck, Daimler Truck, Iveco, Volvo, Zoomlion, Weichai Power)
MGM China: we talked about Macau and LVS over the weekend.
Saipem: rig theme.
Top 5 Industries
The industries with the most stocks in the YWR 300.
This the first time we’ve seen precious metals make the list. Estimates are rising for this sector and price is working.
Banks were the leading sector all last year by a wide margin, but the estimate momentum is falling. Analysts have mostly caught on to the rise in net interest margins and that loan losses would not be as bad as they expected. Still a good sector, but the mojo isn’t there like it used to be (but the UK could still be good).
I’m struggling to have conviction in the semiconductor momentum.
Monthly Sector Trends of Top 5.
YWR Tableau Dashboard
When we use the YWR Factor Model Dashboard on Tableau and look at estimate revision momentum by sector we see the top industries are:
precious metals (Anglogold, Pan American Silver, Endeavour)
casinos/hotels/cruises,
internet retail,
oil services and contract drilling,
autoparts,
aerospace.
Link to the full dashboard at the bottom.
Top 5 Countries
Hello there. What’s your name? Where did you come from?
China is back in the Top 5.
Canada is also new.
Top ranked Canadian stocks from the YWR database.
Top 5 Country Monthly Trends
Drop off in US dominance. China is back on the radar after the COVID opening fail in May last year.
China is our big call for 2024
There is a lot of data and I encourage you to do your own exploring.
Links below to:
Factor global ranking database for April (3,000 stocks)
YWR Tableau Dashboard for a visual representation of the data.