StockScouter

Frequently asked questions

What is the coverage of the StockScouter System?

All listed companies on the major U.S. exchanges (NYSE and NASDAQ), which numbers approximately 4,600 companies currently.

When did StockScouter go live?

August 2001.

How often does the StockScouter System run?

All weekdays on which the equity markets are open for trading.

Why would an overall score or Core model grade be missing?

In some cases, the StockScouter System does not have enough information to generate a score with high confidence. This situation occurs more frequently with international companies, recent IPOs and spin-offs, and smaller micro-cap stocks.

The Core model grades are all A’s and B’s, why isn't the overall score a 9 or 10?

In most instances, companies with high Core model grades will have a very high overall score. However, the StockScouter system also considers the historical volatility of the stock. Stocks with higher volatility are considered to be of greater risk, which reduces the overall score.

What is the distribution of scores 10 to 1?

While the distribution is not normal in a statistical sense, the StockScouter System aims to have only a small percentage receive the very highest and lowest scores.

What is the nature of the underlying information used in the StockScouter System?

The raw data used to derive StockScouter scores and grades is publicly available at the time of calculation. Verus relies on third parties for some of the underlying data and while all underlying data is believed to be accurate, Verus makes no warranties regarding accuracy.

What is the optimal holding period for high-scored stocks?

Optimal holding periods vary by individual investor based on investment strategy, risk tolerance, time horizon, and other factors. With that said, StockScouter is designed with a six-to-twelve-month horizon in mind.