As a change from the tiny, illiquid, unprofitable companies in the NCAV thread, but still in keeping with the theme of value based investing, I thought I'd take a look at the magic formula on the ASX. This is the well known method from, "The Little Book that Beats the Market" by Joel Greenblatt. There's a brief wikipedia article with the details, if you are not familiar.
I post the top 10 rather than the top 30 or 50 as Greenblatt really sticks to the top few percentiles - and the ASX is a much smaller universe of stocks to select from.
Currently, I get:
MF July 2015.png
What's your analysis of any of the stocks in this list?
My initial comment: at least you don't just get a bunch of mining stocks (as you do with the NCAV and some other singular value measures). For interest, the next 5 contain both Nine Entertainment and Southern Cross, so there's at least a little bit of an emphasis on media stocks at the moment.