This week, we cover a strategy that identifies companies with strong return on equity (ROE) and give you a list of stocks that currently pass the AAII Return on Equity screen. Return on equity may help to reveal profitable firms, but does Wall Street reward the stock prices of these firms? As of February 27, the AAII Return on Equity screen has an average annual gain of 12.6% since inception in 1998, compared to the S&P 500 index’s 7.3% return over the same period.
Identifying Promising Stocks by Strong Return…
This week, we cover a strategy that identifies companies with strong return on equity (ROE) and give you a list of stocks that currently pass the AAII Return on Equity screen. Return on equity may help to reveal profitable firms, but does Wall Street reward the stock prices of these firms? As of February 27, the AAII Return on Equity screen has an average annual gain of 12.6% since inception in 1998, compared to the S&P 500 index’s 7.3% return over the same period.