DCF
We ran the same DCF Threshold screen on 13 global stock exchanges. Same signal, same quality filters, same parameters on every market. The pattern that emerged is clear and consistent: the strategy adds value in Western markets and underperforms across most of Asia. The dividing line isn't random.
DCF
We added three quality filters to a classic FCF yield screen and tested it on 25 years of US stocks from NYSE, NASDAQ, and AMEX. The signal: buy the 30 most undervalued stocks by DCF discount that also have ROE above 8%, debt-to-equity below 1.5, and positive operating cash
DCF
We ran the DCF Threshold screen on 25 years of UK stocks from the London Stock Exchange. Buy the 30 most undervalued companies by Gordon Growth DCF discount, filtered for ROE above 8%, D/E below 1.5, and positive operating cash flow. The strategy found no qualifying stocks in
DCF
We ran the DCF Threshold screen on 25 years of Indian stocks from BSE and NSE. The signal: buy the 30 most undervalued companies by Gordon Growth DCF discount, filtered for ROE above 8%, D/E below 1.5, and positive operating cash flow. The strategy found no qualifying stocks
DCF
We ran the DCF Threshold screen on 25 years of Canadian stocks from the TSX. The signal: buy the 30 most undervalued companies by Gordon Growth DCF discount, filtered for ROE above 8%, D/E below 1.5, and positive operating cash flow. The strategy returned 9.32% annually vs
value investing
We screened every Swedish stock on the Stockholm Exchange for discount to intrinsic value using a Gordon Growth Model and backtested from 2000 to 2025. The strategy returned 12.04% CAGR vs 7.33% for SPY, turning $10,000 into $171,346 vs $58,591. Sweden delivered the highest CAGR
value investing
We ran the same DCF discount strategy across 16 global exchanges. Same signal, same model, same transaction costs, same 25-year window, but with per-exchange local currency market cap thresholds. Each exchange is benchmarked against its local index. Brazil topped the list at 18.05% CAGR (+9.47% excess vs Bovespa)
value investing
We screened every US stock for discount to intrinsic value using a Gordon Growth Model and backtested from 2000 to 2025. The strategy returned 8.59% CAGR vs 7.33% for the S&P 500, turning $10,000 into $78,519 vs $58,591. The edge is real but
value investing
Australia tested the DCF discount strategy with a local currency market cap threshold. Over 25 years, the strategy returned 6.08% CAGR with a -62.36% max drawdown. The Sharpe ratio of 0.108 and 1 cash period reflect a concentrated portfolio averaging 20.3 stocks when invested. Against the
value investing
Brazil produced the highest CAGR of any market we tested for the DCF Discount strategy. Over 25 years, a portfolio of SAO-listed stocks trading below computed intrinsic value returned 18.05% CAGR, turning $10,000 into $716,099. The Bovespa returned 8.58% over the same period. That's