Top 200 MFI List Over $300m - March 1st, 2014

Top 200 MFI List Over $300m - March 1st, 2014

I decided to use this weekend to update my list.  It is never too early to start looking forward to my next tranche (May 6th, 2014) as I approach new tranche.  In addition, I am intrigued by KRFT being on the official list and wanted to dig into it a little bit further.

 As my readers know, I like to replicate the official MFI site (Magic Formula Investing) every now and then.  I add a few extra elements such as (1) country, (2) yahoo yield, (3) my calculated stats, (4) ranking and (5) 200 stocks.

If anyone could think of any other stats that might be interesting, then let me know.  I did add this time price to book value.  The data is from FINVIZ.  I would actually prefer price to tangible book, if anyone knows where to get that (I am too lazy to calculate it) then please let me know.

I think my approach is pretty darned accurate.  I use Compustat as well and formulas that were devised by a team on the Yahoo Groups board and detailed in my blog (MFI Diary: The Calculation).  I also cross reference my list with the official top 50 and they are almost always within my top 100 (I have more on my list as I do not exclude some stocks the official site excludes, such as some stocks in other countries).

Be aware that this is all formula driven, the dividend yields should definitely be verified as they come from Yahoo Finance which is not always reliable.  The main financials (from Compustat) have seemed very reliable to me.

Ticker	Rank	Stock Price	Market Cap	Earnings Yield	ROIC	Dividend Yield	P/B	Country
PDLI	1	8.57	1,325	29%	828081%	5.1%	22.7	USA
TTWO	2	19.77	2,211	29%	1283%	0.0%	3.1	USA
AGX	3	28.59	411	20%	1367%	2.6%	2.7	USA
CALL	4	18.93	351	15%	2545%	0.0%	#N/A	Israel
GAME	5	6.62	1,776	14%	757%	0.0%	1.5	China
QCOR	6	60.75	3,784	13%	1424%	1.6%	8.1	USA
PFMT	7	7.91	392	16%	278%	0.0%	8.1	USA
TNH	8	165.16	3,055	17%	230%	0.0%	11.4	USA
NTES	9	69.17	9,027	12%	499%	2.1%	3.3	China
USMO	10	14.45	317	17%	202%	3.4%	1.2	USA
EBIX	11	16.25	625	12%	812%	0.0%	1.3	USA
MYGN	12	36.21	2,782	12%	447%	0.0%	2.5	USA
CSCO	13	21.80	116,129	12%	350%	3.1%	2.0	USA
AVG	14	18.73	1,014	11%	776%	0.0%	36.9	Netherlands
RCII	15	25.14	1,339	11%	422%	3.5%	1.3	USA
USNA	16	73.17	1,055	13%	197%	0.0%	4.3	USA
RGR	17	63.74	1,271	13%	164%	3.3%	9.4	USA
CYOU	18	29.24	1,550	26%	117%	0.0%	2.0	China
APOL	19	33.33	3,798	18%	119%	0.0%	2.7	USA
IQNT	20	13.96	454	14%	147%	10.3%	3.4	USA
GME	21	37.31	4,406	15%	133%	2.2%	2.7	USA
HLF	22	66.60	7,142	11%	251%	0.0%	17.3	Cayman Islands
AAPL	23	526.24	474,380	11%	318%	2.3%	4.0	USA
BPI	24	19.29	1,089	15%	113%	0.0%	1.7	USA
UIS	25	34.22	1,756	14%	119%	0.0%	-	USA
LO	26	49.06	18,014	10%	651%	4.7%	-	USA
ESI	27	31.03	727	24%	100%	0.0%	4.1	USA
CTCM	28	10.56	1,648	14%	115%	5.8%	3.0	Russia
MSFT	29	38.31	321,612	11%	248%	2.7%	3.8	USA
CRWN	30	3.35	1,205	13%	120%	0.0%	3.4	USA
BAH	31	21.03	3,130	11%	194%	11.5%	6.9	USA
GTIV	32	10.71	338	13%	119%	0.0%	8.5	USA
RPXC	33	16.02	870	10%	1376%	0.0%	2.1	USA
COH	34	48.81	13,742	11%	143%	2.7%	6.7	USA
BCOR	35	19.24	800	10%	467%	0.0%	2.4	USA
NSR	36	35.82	2,292	11%	166%	0.0%	5.0	USA
STRA	37	47.77	504	16%	93%	0.0%	6.3	USA
BKE	38	45.37	2,177	13%	106%	4.4%	6.7	USA
KRFT	39	55.27	33,162	12%	119%	3.7%	6.6	USA
LQDT	40	25.62	837	9%	604%	0.0%	2.3	USA
RAI	41	50.83	27,534	10%	295%	5.0%	5.3	USA
PRIS	42	2.39	605	11%	129%	0.0%	0.2	Spain
SWHC	43	11.50	701	20%	82%	0.0%	6.1	USA
MO	44	36.26	72,230	9%	399%	5.1%	19.0	USA
CHE	45	84.60	1,514	10%	176%	0.9%	3.3	USA
APEI	46	35.42	633	14%	84%	#VALUE!	3.7	USA
ATVI	47	19.35	14,648	9%	994%	1.0%	1.7	USA
GA	48	11.38	2,819	9%	375%	5.7%	4.7	China
CA	49	33.50	15,008	9%	472%	3.0%	2.6	USA
SNDK	50	74.30	17,298	10%	134%	0.9%	2.4	USA
NOC	51	121.03	27,256	11%	111%	2.0%	2.8	USA
PRSC	52	26.59	374	10%	134%	0.0%	2.5	USA
SAIC	53	37.30	1,790	12%	84%	1.5%	4.9	USA
SUSP	54	35.41	777	15%	74%	5.2%	9.0	USA
REGI	55	11.67	425	48%	66%	0.0%	0.7	USA
CRUS	56	19.25	1,258	17%	68%	0.0%	2.1	USA
ORCL	57	39.11	179,906	8%	475%	0.9%	3.9	USA
VLO	58	47.98	26,005	14%	70%	1.9%	1.5	USA
HPQ	59	29.88	57,818	12%	74%	1.9%	2.0	USA
DGX	60	53.00	7,738	10%	103%	2.3%	2.1	USA
DHX	61	7.36	397	9%	243%	0.0%	2.2	USA
RTN	62	97.91	31,292	9%	153%	1.7%	3.2	USA
XLS	63	20.43	3,939	13%	71%	2.0%	2.7	USA
EGL	64	41.73	742	12%	73%	0.0%	1.5	USA
TARO	65	111.61	4,989	9%	128%	0.0%	4.4	Israel
MANT	66	29.27	1,088	14%	66%	2.9%	0.9	USA
GD	67	109.54	38,843	10%	98%	0.0%	2.6	USA
NUS	68	83.52	5,137	9%	129%	1.1%	10.5	USA
PBI	69	25.45	5,184	9%	147%	3.0%	#####	USA
VGR	70	19.53	1,781	8%	302%	7.8%	-	USA
REV	71	23.61	1,236	9%	120%	0.0%	-	USA
BR	72	37.76	4,686	8%	208%	2.1%	5.6	USA
EXPR	73	18.29	1,547	15%	58%	0.0%	3.9	USA
K	74	60.69	22,091	11%	77%	2.3%	7.7	USA
ITRN	75	22.02	462	10%	93%	3.7%	5.2	Israel
PM	76	80.91	129,294	9%	147%	4.4%	-	USA
NCI	77	17.43	882	10%	83%	0.0%	1.6	USA
CF	78	250.90	14,326	15%	56%	1.1%	2.6	USA
SYMC	79	21.48	15,079	9%	127%	2.8%	2.9	USA
FCN	80	29.19	1,142	12%	65%	0.0%	1.5	USA
STRZA	81	31.98	3,724	9%	118%	0.0%	35.4	USA
PBH	82	28.49	1,494	8%	261%	0.0%	3.4	USA
FRAN	83	19.57	861	10%	92%	0.0%	10.6	USA
MED	84	26.34	366	10%	73%	0.0%	3.2	USA
GDOT	85	20.15	771	10%	87%	0.0%	2.3	USA
VIAB	86	87.73	39,829	8%	220%	1.4%	7.8	USA
IGT	87	15.09	3,852	10%	72%	2.5%	3.6	USA
TUP	88	78.60	4,048	8%	137%	3.1%	17.6	USA
LH	89	93.54	8,260	9%	89%	0.0%	3.2	USA
HRS	90	73.82	7,921	10%	74%	2.9%	4.5	USA
CPLA	91	66.48	844	8%	150%	0.5%	4.5	USA
GPS	92	43.75	19,863	11%	65%	1.6%	6.2	USA
BBBY	93	67.82	14,399	12%	55%	0.0%	4.2	USA
UTHR	94	101.42	5,445	9%	100%	0.0%	4.3	USA
FLR	95	77.69	12,772	9%	89%	0.9%	3.4	USA
HRB	96	31.64	8,666	8%	236%	2.5%	8.4	USA
NSP	97	29.19	725	10%	69%	2.3%	3.6	USA
CATO	98	28.07	807	16%	48%	0.7%	2.4	USA
TWX	99	67.13	62,048	9%	103%	1.8%	2.1	USA
TDC	100	45.92	7,549	8%	217%	#VALUE!	3.9	USA
MDP	101	46.80	2,135	8%	113%	0.0%	2.7	USA
DOX	102	44.48	7,199	8%	122%	1.2%	2.0	Channel Islands
NDZ	103	9.93	616	11%	59%	0.0%	1.4	Canada
BRCD	104	9.57	4,340	9%	80%	0.0%	1.7	USA
JOY	105	55.00	5,831	14%	48%	1.3%	2.1	USA
DPS	106	52.11	10,500	9%	93%	4.4%	4.2	USA
MD	107	60.82	6,148	7%	371%	0.0%	2.4	USA
STX	108	52.19	18,058	10%	71%	3.1%	5.5	Ireland
TZOO	109	23.62	356	7%	294%	0.0%	9.1	USA
SCSS	110	18.06	999	10%	70%	0.0%	5.2	USA
CSGS	111	28.00	947	9%	81%	1.6%	2.6	USA
FF	112	17.35	753	13%	47%	4.0%	2.2	USA
SYNT	113	94.36	3,958	8%	144%	0.0%	6.0	USA
OUTR	114	70.73	1,952	11%	54%	0.0%	3.2	USA
SGU	115	5.65	325	15%	44%	5.9%	1.2	USA
WDC	116	86.99	21,139	10%	57%	1.2%	2.4	USA
WINA	117	79.04	419	7%	293%	0.0%	13.6	USA
THO	118	56.01	2,985	9%	83%	0.0%	3.4	USA
OMC	119	75.68	19,722	7%	237%	2.1%	5.7	USA
CO	120	4.28	312	18%	42%	0.0%	1.5	Hong Kong
HSNI	121	57.35	3,101	9%	73%	1.4%	6.9	USA
LNN	122	84.86	1,099	11%	53%	0.8%	2.8	USA
TRW	123	82.32	10,018	12%	47%	0.0%	2.3	USA
CODI	124	18.74	905	11%	51%	7.6%	1.8	USA
PIR	125	18.92	1,981	11%	49%	1.1%	4.6	USA
MDT	126	59.26	59,853	9%	78%	1.9%	3.1	USA
OSK	127	57.83	5,015	10%	56%	2.7%	2.0	USA
LMT	128	162.30	52,958	8%	97%	3.1%	37.0	USA
ACN	129	83.35	58,176	7%	491%	2.1%	10.5	Ireland
BTI	130	108.79	102,263	8%	121%	0.0%	8.9	United Kingdom
MSI	131	66.20	17,291	8%	91%	0.0%	6.5	USA
LXK	132	42.14	2,684	13%	42%	2.8%	1.7	USA
MCO	133	79.00	17,301	7%	442%	1.2%	60.3	USA
NCR	134	34.05	5,816	9%	59%	0.0%	3.7	USA
FL	135	41.71	6,236	12%	45%	1.9%	2.5	USA
KLAC	136	65.15	10,959	8%	77%	2.7%	3.0	USA
SAVE	137	56.48	4,134	7%	146%	0.0%	4.8	USA
IBM	138	185.17	199,984	8%	76%	2.1%	10.2	USA
LEA	139	81.20	6,731	12%	44%	0.9%	2.3	USA
ROST	140	72.80	15,520	9%	69%	0.7%	8.1	USA
SAP	141	80.29	96,027	7%	280%	1.4%	4.9	Germany
EMC	142	26.37	55,746	8%	120%	1.1%	2.3	USA
WHR	143	144.63	11,556	11%	47%	0.0%	2.7	USA
ABBV	144	50.91	81,863	7%	166%	3.1%	23.2	USA
ERIC	145	12.91	42,100	10%	54%	0.0%	1.9	Sweden
ASR	146	111.20	3,336	7%	201%	6.0%	3.6	Mexico
CHRW	147	51.86	7,838	8%	88%	2.0%	9.1	USA
PETM	148	67.06	7,025	10%	54%	1.1%	6.2	USA
CACI	149	78.83	1,994	8%	73%	0.0%	1.4	USA
VMI	150	145.63	3,919	12%	42%	0.8%	2.6	USA
MHFI	151	79.66	22,145	7%	617%	1.4%	21.7	USA
SYNA	152	65.04	2,345	8%	116%	0.0%	3.2	USA
LLY	153	59.61	64,318	9%	69%	3.3%	3.3	USA
MLHR	154	28.18	1,660	8%	73%	1.8%	5.1	USA
KFY	155	25.39	1,239	8%	89%	0.0%	1.8	USA
CSC	156	63.20	9,440	11%	45%	1.3%	2.5	USA
TJX	157	61.46	44,220	8%	91%	2.9%	11.0	USA
WSTC	158	25.12	2,137	9%	54%	3.6%	-	USA
AE	159	73.60	310	17%	37%	0.9%	#N/A	USA
LHCG	160	23.56	405	10%	47%	0.0%	1.4	USA
MAT	161	37.31	12,806	9%	60%	0.0%	5.4	USA
MAN	162	78.16	6,315	10%	50%	1.2%	2.4	USA
GNC	163	46.52	4,442	8%	67%	1.3%	6.4	USA
MBT	164	17.22	17,125	13%	38%	5.5%	5.4	Russia
RIOM	165	2.12	377	25%	35%	0.0%	#N/A	Canada
CBD	166	42.53	7,008	18%	36%	1.2%	3.1	Brazil
PLT	167	44.38	1,918	9%	55%	0.9%	2.9	USA
HPY	168	40.44	1,536	8%	86%	0.7%	7.4	USA
AGCO	169	52.48	5,232	17%	35%	0.8%	1.5	USA
FWLT	170	32.12	3,167	8%	79%	0.0%	4.3	Switzerland
PPC	171	17.53	4,548	14%	37%	0.0%	3.1	USA
HON	172	94.44	75,269	8%	76%	1.8%	4.8	USA
GSK	173	55.94	136,522	8%	81%	4.4%	12.3	United Kingdom
YONG	174	6.59	334	53%	33%	0.0%	0.6	China
RECN	175	13.70	542	9%	57%	2.0%	1.7	USA
HSII	176	18.39	337	9%	60%	2.9%	1.5	USA
QCOM	177	75.29	129,649	7%	302%	1.7%	3.4	USA
SAFM	178	76.84	1,723	15%	35%	0.0%	2.6	USA
EXLS	179	27.99	950	7%	94%	#VALUE!	2.5	USA
FICO	180	53.73	1,925	7%	216%	0.0%	4.1	USA
KLIC	181	11.54	876	18%	34%	0.0%	1.4	USA
DTV	182	77.60	40,973	9%	57%	0.0%	-	USA
EMR	183	65.26	46,211	8%	68%	2.6%	4.7	USA
QLGC	184	11.42	996	11%	40%	0.0%	1.5	USA
IPG	185	17.72	7,712	7%	118%	2.3%	3.6	USA
HITT	186	58.98	1,839	8%	71%	0.3%	3.1	USA
ACET	187	18.29	521	10%	42%	1.3%	3.1	USA
ONE	188	8.00	387	8%	75%	0.0%	6.8	USA
PRGS	189	24.94	1,313	7%	138%	0.0%	2.7	USA
IGTE	190	33.85	2,048	8%	66%	0.0%	97.8	USA
SWK	191	83.04	13,220	8%	62%	2.4%	1.8	USA
RHI	192	40.94	5,601	7%	84%	1.6%	6.3	USA
GEOS	193	76.77	998	11%	38%	0.0%	4.1	USA
JNJ	194	92.12	264,569	7%	80%	2.9%	3.7	USA
NOK	195	7.58	28,140	7%	221%	0.0%	3.2	Finland
TGA	196	7.39	559	30%	31%	0.0%	1.3	Canada
MENT	197	21.64	2,542	8%	67%	0.9%	2.5	USA
SBH	198	28.70	4,815	8%	66%	0.0%	-	USA
AVP	199	15.47	6,708	9%	46%	1.6%	6.7	USA
EXPD	200	39.51	8,120	8%	64%	#VALUE!	4.1	USA

The price to book (in my opinion) is interesting.  Note that some pretty highly rated stocks such as UIS and LO actually have a "-", meaning they have a book value below 0.  I do not know about other people here, but I have trouble owning a company with a negative book value.

Here is the Cross Reference List.  This is always a difficult time of year to run these calculations as we're in the midst of earnings season, so data in Compustat can be changing significantly daily. After a couple of runs where I had a few mis matches, this one looks perfect!  I think #72 (BR) is the highest, and a "50" would be perfect.

Ticker	Mkt Cap	Date	My Ranking
ATVI	13,448.25	28-Feb	47
MO	72,283.55	28-Feb	44
APEI	622.61	28-Feb	46
APOL	3,755.86	28-Feb	19
AAPL	469,641.30	28-Feb	23
AGX	405.89	28-Feb	3
BCOR	904.28	28-Feb	35
BAH	3,038.56	28-Feb	31
BR	4,500.99	28-Feb	72
BKE	2,192.69	28-Feb	38
CA	14,846.23	28-Feb	49
CHE	1,473.90	28-Feb	45
CRUS	1,209.94	28-Feb	56
CSCO	113,163.80	28-Feb	13
COH	13,547.31	28-Feb	34
DHX	402.11	28-Feb	61
EBIX	617.32	28-Feb	11
EGL	718.63	28-Feb	64
XLS	3,869.44	28-Feb	63
GME	4,335.42	28-Feb	21
GTIV	336.18	28-Feb	32
HLF	6,733.26	28-Feb	22
HPQ	56,371.61	28-Feb	59
IQNT	449.72	28-Feb	20
ESI	725.17	28-Feb	27
KRFT	32,987.52	28-Feb	39
LQDT	824.96	28-Feb	40
LO	17,906.90	28-Feb	26
MANT	1,088.70	28-Feb	66
MSFT	317,973.00	28-Feb	29
MYGN	3,012.38	28-Feb	12
NSR	2,185.02	28-Feb	36
NOC	26,336.01	28-Feb	51
NUS	4,885.92	28-Feb	68
PDLI	1,453.24	28-Feb	1
PFMT	382.18	28-Feb	7
PRSC	358.27	28-Feb	52
DGX	7,632.00	28-Feb	60
QCOR	3,653.32	28-Feb	6
RTN	30,841.65	28-Feb	62
RAI	27,349.23	28-Feb	41
RPXC	875.12	28-Feb	33
SNDK	16,736.22	28-Feb	50
SAIC	1,827.70	28-Feb	53
SWHC	643.20	28-Feb	43
STRA	515.77	28-Feb	37
RGR	1,233.18	28-Feb	17
TTWO	2,006.64	28-Feb	2
USMO	312.87	28-Feb	10
USNA	1,014.14	28-Feb	16

Now let us talk about KRFT for a minute. It is an extremely impressive #39 on the list.  Blue chip, defensive sector, solid dividend and cheap?  Seems too good to be true.  Is it? I think the answer lies in their sub headline about their 2013 earnings:

2013 EPS of $4.51 included $1.67 of gains from market-based impacts to post-employment benefit plans

Now I do not know how everyone else handles funding of retirement plans (maybe I need to dig into that a bit). But that most certainly does not feel like operating income.  It can obviously swing quite a bit quarter to quarter and year to year on whether financial markets are up or down. Certainly could not count on $1.67 most years. So, I would strike KRFT from the list.