QUANTITATIVE STRATEGY DOSSIER• Joel Greenblatt (Gotham Capital)
Joel Greenblatt Magic Formula
Greenblatt's Magic Formula ranks equities by two mathematically rigorous factors: high capital efficiency (ROIC > 20%) and high enterprise earnings yield (EBIT/EV), identifying outstanding businesses selling at bargain valuations.
Launch Live Interactive Stock Screener
Filter real-time equities across Minervini VCP, Greenblatt Magic Formula, and Peter Lynch GARP models.
📐 Quantitative Screening Rules & Mathematical Bounds
- Top-Decile Return on Capital: ROIC >= 25% indicating wide economic moat.
- High Earnings Yield: EBIT / Enterprise Value >= 8.5%.
- Piotroski F-Score >= 8: Pristine accounting quality with zero debt dilution risk.
- Minimum Liquidity Tier: Market Cap >= $1B with robust institutional float.
🎯 Current Matching Candidates
Updated Daily Pre-Market🟢 IN_BUY_ZONEPiotroski: 9/9
Optimal Entry: $20.80 - $21.40
Target 1 (+2.5x ATR): $23.80
Stop Loss Floor: $19.85
Capital Efficiency: ROIC 42.8%
Execution Setup: Orphan disease franchise with 88%+ gross margins and pristine 9/9 Piotroski balance sheet.
🟢 IN_BUY_ZONEPiotroski: 9/9
Optimal Entry: $97.50 - $100.78
Target 1 (+2.5x ATR): $112.40
Stop Loss Floor: $93.20
Capital Efficiency: ROIC 38.5%
Execution Setup: Radiopharmaceutical diagnostic monopoly trading at deep valuation discount.
🟢 IN_BUY_ZONEPiotroski: 9/9
Optimal Entry: $384.00 - $395.10
Target 1 (+2.5x ATR): $432.00
Stop Loss Floor: $368.50
Capital Efficiency: ROIC 34.2%
Execution Setup: Full-service clinical CRO compounder with zero long-term debt.