90+ Fundamental Rating

90+ Technical Rating

90+ Composite Rating

Five years ago, we set out to systematically explore, isolate, and quantify the common characteristics of the greatest-performing stocks of all time. In that work, we identified three primary characteristics shared by most “super stocks,” along with two secondary characteristics that further enhanced their future return potential. Our investment approach is largely reverse-engineered from these findings and is designed to identify, and build a portfolio around, stocks that exhibit these traits in real time.

Our primary findings show that the majority of the market’s biggest winners displayed exceptional fundamental and technical characteristics before their major advances. Moreover, the combination of strong fundamentals and strong technicals tends to amplify future returns. Our secondary findings indicate that a company’s standing relative to its sector peers—on both fundamental and technical dimensions—is also highly informative about its future potential. Finally, we observed a repeatable structural pattern in the market that we refer to as launchpads: consolidation structures that many super stocks formed just prior to their historic advances and which, when properly identified, can offer attractive, lower-risk entry points.


More specifically, our research shows that:

  • Stocks with strong and stable earnings and revenue growth significantly outperform stocks with weak or erratic earnings and revenues.
  • Stocks with strong prior price performance significantly outperform stocks with weak relative performance.
  • Stocks that combine robust earnings and revenue growth with strong relative price performance have historically been among the best performers of all time.
  • Stocks that are positioned as leaders within their sectors, on both fundamental and technical measures, significantly outperform weaker sector peers.
  • Launchpads frequently provide low-risk, high-potential entry points into future super stocks ahead of their major advances.

The sections below present a detailed summary of the primary findings from this multi-year research effort.

Our Fundamental Rating evaluates each company’s quarterly, annual, and estimated earnings and revenues for acceleration, growth, and stability - assigning a percentile rating to each company in the investable universe. Our research shows that companies with strong and stable earnings and revenues growth tend to outperform companies with weak or erratic earnings and revenues growth over our 20 year testing period. Furthermore, we see monotonically increasing performance from Q1 - Q5 suggesting that our Fundamental Rating is a efficacious discriminator of future price appreciation. Also, of note, is the relatively lower volatility and drawdown, and higher alpha and sharpe ratio among the top quintile indicating higher returns can be achieved with less overall risk. The figure below illustrates the 20 year back-test of our 90+ Fundamental Rating and further supports our findings and data above.

Our Technical Rating measures the price performance of each company against all other companies over the preceding 3, 6, and 12 months - assigning a percentile rating to each company in the investable universe. Our research shows that companies with proven track records of strong and consistent performance tend to outperform companies with weak or inconsistent track records over our 20 year testing period. Again, we see almost nearly monotonically increasing performance from Q1 - Q5 exhibiting that our Technical Rating is also an efficacious discriminator of future price appreciation. Again, of note, is the relatively lower volatility and drawdown and higher alpha and sharpe ratio among the top quintile indicating higher returns can be achieved with less overall risk. The figure below illustrates the 20 year back-test of our 90+ Technical Rating and further supports our findings and data above.

Lastly, our 90+ Composite Rating combines our Fundamental and Technical Ratings into one comprehensive number - assigning a percentile rating to each company in the investable universe. Our research shows that companies with a combination of healthy fundamentals and strong technicals significantly outperform companies lacking in one of these two critical areas over our 20-year testing period. Again, we continue to see monotonically increasing performance from Q1 - Q5 illuminating our Composite Rating's ability to separate strong from weak future performance. Again, of note, is the relatively lower volatility and drawdown and higher alpha and sharpe ratio among the top quintile indicating higher returns can be achieved with less overall risk. The figure to the right shows the 20 year back-test of our 90+ Composite Rating and further supports our findings and data above.

Five years ago, we set out to explore, isolate, and quantify the common characteristics of the greatest performing stocks of all time. In our pursuit, we identified three primary characteristics that the majority of super stocks share, and two secondary characteristics that further enhanced their future growth potential. As a result, our investment approach has predominantly been reverse engineered from our findings and developed in a manner to identify and construct a portfolio of such stocks in present time.


The primary findings of our study show that the majority of the greatest performing stocks of all-time had exceptional fundamental and technical characteristics before their major advance. Furthermore, we find that the combination of healthy fundamentals and strong technicals further amplify future returns. Additionally, the secondary findings of our studies show that a company's standing amongst its sector constituents, in terms of its fundamental and technical health, is also indicative of its future potential. And lastly, there exists an exploitable structural tendency of the market we call "launchpads" that many super-stocks formed before embarking upon their historic advance.


More specifically, our studies show that:

  1. Stocks with strong and stable earnings and revenues growth significantly outperform stock with weak or erratic earnings and revenues growth
  2. Stocks with strong prior relative performance significantly outperform stocks with weak relative price performance
  3. Stocks with a combination of strong and stable earnings and revenues growth and strong relative price performance were among the best performing stocks of all-time
  4. Stocks that are well positioned amongst their sector constituents significantly outperform weakly positioned stocks in the sector
  5. Launchpads provide low-risk entry points into super-stocks prior to their advance


Below we present a detailed summary of the primary findings from our multi-year research.