Metastock 9 Formula Help!!

Hi
I am new to the forum, but have MS 9 and am wanting to add some of Warren Buffet's criteria as formulas. Things like EPS, PE etc.

Can anyone help me with formulas at all if I put what it is I am trying to find? I am happy to supply for free what I had to pay for.

If anybody else would like the 8 performance indicators used by the Warren Buffet, the richest man in the world (through the share market that is) they are as follows:

1. DPS Growth >7% - Dividends Per Share
A company that is paying consistently higher dividends is a company that will attract attention from income oriented and institutional investors. This pushes demand and therefore price up.

2. Revenue Growth >10%
Companies that have dynamic leadership tend to have dynamic growth.
Revenue Growth is calculated by comparing last year’s turnover against this year’s turnover.

3. Return on (Shareholder’s) Equity >14% - ROE
Measures the amount of profit being made in relation to the shareholder’s equity. In other words, ‘Are the Directors looking after my money’.

4. Average Earnings Per Share >9% - EPS
The annual net profit of the company divided by the number of shares on issue. EPS allows for ready comparison of companies of different values and is the basis of a number of calculations used to assess the value of a stock.
We use earnings after abnormal, which includes preference dividends + tax. It is shown in cents per share.
Diluted EPS is EPS adjusted for dilution factors like Bonus Rights, Rights Issues + Reconstruction. Such adjustments allow for the comparison of current figures with figures of previous years.

5. Gearing Ratio <70%
The gearing ratio measures the percentage of capital employed that is financed by debt and long term finance. The higher the gearing ratio, the higher the dependence on borrowings. The lower the gearing ratio, the higher the dependence on equity financing. The higher the level of gearing, the higher the level of financial risk due to the increased volatility of profits.

6. Interest Cover Ratio = to or >3
The Interest Cover ratio indicates how easily a company can meet its interest payments. The ratio shows how many times the interest payments could be met out of current earnings. The higher the ratio, the better.
It means profits (therefore dividends and share price growth) won’t be hit by rises in interest rates.
A company with a higher IC can repay its debts many times over. In unique circumstances ie: where a company has high cash reserves, the IC may actually be negative. This is actually a positive, because the company is getting a nett inflow of interest.

7. Price Earnings / EPS Growth 0 – 1 - PE/G
It is a value for money ratio which compares the Price Earnings ratio to the EPS Growth. Divide Growth into Price Earnings. It indicates how quickly your investment will be repaid when factoring in the growth of the company. The quicker the repayment, the better value the share.
PE/G is particularly helpful in valuing small to mid-cap companies which typically pay no dividend. It is less useful in assessing cyclical stocks and those in industries where assets are a more important indicator of value.
A value of between 0 and 1 implies the stock may be undervalued. The higher the PE/G the less likely the share price is to grow and therefore the higher the risk.

8. Discount to Intrinsic Value >30%This is an earnings related measurement taking into account and entity’s EPS, the expected Growth rate and the 10 year Bond yield.
Buffet says you should be buying shares that are trading at a minimum of a 30% discount to intrinsic value.

All of the information you are trying to ascertain is freely available through data feeds. At least it is in Australia.

You could, of course, sit and look for the information manually in the financial papers, but it would take forever. This way, you input the formulas and scan the market for companies which fit the bill. Then it your job to use further analysis to determine which companies you will invest in.

If somebody could please supply the Metastock formulas for what I have supplied, it would be much appreciated.

I actually had to pay for a seminar to discover these performance indicators and they do work. Just remember that the last one is really just to determine if the share is good value or not.

Cheers

Since you are from Australia and looking for information on fundamentals, I suggest you visit http://www.paritech.com.au/AU/produc...metamarket.asp
They perhaps are the only data providers who link fundamental analysis with metastock. Exploration, I have read, is included in the package. Creating custom explorations based on available tools should not be a big task after you have data in your metastock.

Regards.

Thanks, but no thanks.

I just supplied the forum a list of criteria that I believe many people would love to have. And I did it for no charge, asking only for the knowledge of formulas to input into MS.

What you have directed me to is a website that sells data and analysis package. I already have access to that same data through a paid account. I don't need analysis software, as I already own some.

I just want to be able to input the correct formulas into MS to filter the data that I receive. Surely each of the indicators I listed must be able to be input as a formula.

Cheers

Metastock formula language as such does not have an inbuilt syntax for coding indicators,experts or explorations based on company fundamentals. If you are recieving fundamental data into your metastock through a 3rd party source, they should have provided an extfml.dll along with the data. It is best you contact the party whom you get the fundamental data from.

Regards.

OK, I get it now.

Thanks heaps for clarifying that.

I hope the forum finds the performance indicators useful all the same.

Cheers