Been playing around with trends. I wanted to see companies on an exchange that had increasing profit margins over time. I want to try and 'catch' one of the rising stars before the become famous, so to speak.
| code | exchange | r2 | latest_pe_ratio |
|---|---|---|---|
| MHO | US | 0.8684408011742693 | 6.1047 |
| TMHC | US | 0.805919804849865 | 7.3865 |
| PHM | US | 0.8328457609967387 | 7.7232 |
| GRBK | US | 0.9033258205909432 | 7.8133 |
| PLBC | US | 0.8550728429971046 | 9.596 |
| LEGH | US | 0.9574886382293258 | 10.4672 |
| OTTR | US | 0.9595809424062113 | 11.3519 |
- MHO has been around a while but revenue and net income are on the way up
- Same with THMC.
Investigating other stonks is an exercise for the reader.
I've also played around with finding companies with increasing dividend yield, profits over 'n' % per year for the last 'x' years.
More detail
The closer r2 is to 1 the better the trend line.
I calculated the profit margin for every company on an exchange for their entire history. Then I filtered only those companies that had a trend line that was increasing.
I then excluded those companies where the latest PE ratio was above 12.
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