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No. of Recommendations: 14
In keeping with the objective of this board to
find S&P beating screens, here's an interesting article
that has a very simple screen yielding excellent results.
(No proprietary ratings are used.)

Two tables from the article:

Table 1: Stingy Stock Criteria
1. A member of the S&P500
2. Debt-to-Equity Ratio less than or equal to 0.5
3. Current Ratio of more than 2
4. Interest Coverage of more than 2
5. Some Cash Flow from Operations
6. Some Earnings
7. Price to Sales ratio of less than 1
Table 2: Past Performance
Period* Stingy Stocks S&P500 (SPY) +/-
2001 - 2002 -1.90% -22.10% 20.2
2002 - 2003 33.80% 23.00% 10.8
2003 - 2004 29.80% 13.40% 16.4
2004 - 2005 29.20% 8.20% 21.0
2005 - 2006 28.90% 12.60% 16.3
Total Gain Since Inception 183.60% 32.30% 151.3
* Indicates the time between articles and not calendar years.

I coded up a screen (below) using only 4 of the 7 criteria listed
above and it backtested very well in Zacks. Stocks can be also obtained
from MSN free screener using the 4 criteria giving 11 stocks.

Debt/equity <=.5
Current ratio >2
P/S <1

With a 12 week hold, CAGR was 30.5%,
85% win rate, -5.8% drawdown over past 3 years (3/26/04 start).
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