ThinkorSwim Indicators for Basic Fundamental Analysis

[bp805]

One thing I notice is that your market cap is way too large. The inputs should be expressed in millions of dollars. As I read it, your current input shows 1 billion, million dollars. Reduce that to 1,000 to get your billion $ market cap minimum. I don't know what your definition of "def bookvalue". Also the orange triangles in the columns mean that it is complex and may slow down your system to load the data.

 

[MerryDay]

@quijanoj44 When debugging anything (a study, scanner, watchlist), you want to test each of your filters one at a time. That way you narrow down where/what is causing your issue.

 

[henry1224]

Prison Mike, are you still looking for input about how to get your script working? I was trying to do the same thing and ran across your posting. I finally was advised by someone at TD Ameritrade to post my questions in the TOS chat room => ThinkScript section. I think I now have a working Graham Number scan and also a chart style that lets me see all of a stock's fundamentals including calculated Graham Number. I would be glad to share what I've got with you if you still need it. (I spent most of a day trying to get things to work before I got good, obscure, magical advice from the TOS ThinkScript chat room). -- Chuck Rosselli

The Graham Number might have worked in Benjamin Graham's day when stocks traded at smaller PE ratios, Try it on amzn,tsla, and some of the other high priced stocks

 

[ChuckRosselli]

HI @ChuckRosselli , is it possible you can share the TOS link of this scanner, please?

quijanoj44, here goes... http://tos.mx/VIHUUuH Unfortunately, about 50% of the time, the script times out. If that happens, run a different scan and then go back and repeat the original scan.

 

[bp805]

Hi All,
I have been using the "Earnings Statistics" study from the first post from this thread by author "Paris" that shows the gap up/ gap down after the earnings report. However, I have noticed that when looking at this study on a 1 day 1 year chart, there is always gap up/gap down chart bubble displayed on the first day that is visible (1 year ago) that does not coincide with an actual earnings report (and presumably is the gap up/down from the prior day's close that is not visible on the chart). This gap up/down data is factored into the average stats labels at the top which skews the averages and does not make them accurate. See the attached image on a 1 year daily chart of FDX showing the farthest left (oldest date) bubble is not corresponding to an actual earnings event (I also confirmed that this bubble is not displaying the earnings gap from the prior report that is not shown on the screen). There are 4 earnings reports, but 5 bubbles shown and at the top you'll notice that there are 5 total gaps being factored into the averages.

Is there a way to edit this study to ensure that this bubble/data is not displayed and only measures the actual earnings gap data? Ive tried playing around with different daily time frames (1.5 years, 9 months, etc) but the bubble is still there. Thanks!!

 

[ChuckRosselli]

@ChuckRosselli, so which is the way to use this scan? The results it shows are stocks with strong uptrend since months ago. Would be nice to catch these runs sooner.

I specifically use the scan to find candidates to sell covered calls against. I'm looking to either buy shares or buy a LEAP. I want a stock with good fundamentals where its price is likely to stay flat or even rise a bit. So, the scan indicates good fundamentals. I then look to see if the candidate is above its 50 and 200 MAs but not "peaking". If it passes these tests, I buy either 100 shares of stock or one LEAP. Usually I buy a LEAP with a delta of .70 to .75. Also, I want the LEAP's expiration to be between November and February as times the market is more likely to be going up. Once I have the stock or the LEAP, I sell Covered Calls against it every month - usually at a delta of about .30. In the last month of expiration for the LEAP, I can hopefully harvest a profit from the last covered call I write against it plus any capital gains from the stock price having risen.

 

[tradecombine]

Also your Season column seems interesting and may have their own stories to tell.....

It may be belated, but I may have found that season column:
https://usethinkscript.com/threads/jboyd_tda-seasons-column-for-thinkorswim.10391/

 

[fabriciom]

Gellidus,

Yes, I think Graham Number is Benjamin Graham's idea of the Fair Price of a share of stock.

Benjamin Graham actually defined 2 metrics help determine if a stock was a good value or not.

The first, was Graham Number (which this post thread has been discussing):

Graham number - fair value of stock
= SQRT( 22.5 x EPS x BVPS )
EPS - Earnings per Share (for last year)
BVPS - Book Value per Share (as of most recent quarter)

(If I am calculating EPS and BVPS from other numbers, I only use shares of common stock & not preferred stock).

The other:

Graham Intrinsic Value (also called "Benjamin Graham Formula") - stock's value including time growth
= (EPS x (8.5 + (2 x 5 yr growth rate)) x 4.40 / (20 yr AAA corporate bond rate)
EPS - Earnings per Share (common + preferred)
8.5 - Typical PE ratio for a non-growth company
4.4 - Yield of corporate AAA bonds in 1962 (when model introduced)
Current 20 year AAA corporate bond rate - Available at: https://fred.stlouisfed.org/series/HQMCB20YR

(I calculate Graham Intrinsic Value both without and with dividends. To calculate Graham Intrinsic Value "Total Return" (with dividends), I add the yearly dividend yield to the yearly predicted growth rate).

You can look up both "Graham Number" and "Benjamin Graham Formula" on Wikipedia which gives a good summary of both.

I hope this helps.

Chuck

Hello,

Do you happen to have the code for the Graham intrinsic value formula?

 

[MerryDay]

Hello,

Do you happen to have the code for the Graham intrinsic value formula?

Yes, the post you quoted contains the Graham intrinsic value formula.

If you are asking for the syntax to script it, be aware that the ToS data feeds do not contain all the fields referenced in your post.

This is about as close as you can get using the ToS app:
https://usethinkscript.com/threads/...or-basic-fundamental-analysis.866/#post-61601