How we score every stock

Every public company on Wealthy is graded across six pillars worth 100 points total. We weight the pillars per industry — banks get scored differently from REITs from SaaS — then surface a single 0–100 number you can compare across markets.

Profitability & Returns (22 pts)

Companies that generate consistent, high returns on the capital they put to work — ROE, ROIC, gross/operating margins.

Growth Quality (18 pts)

Top-line, EPS, and FCF compounding. Penalizes "growth at any cost" by demanding consistency.

Financial Health (18 pts)

Balance-sheet stress tests: net debt vs EBITDA, interest coverage, current ratio, Piotroski F-score, debt trend.

Valuation (22 pts)

Margin of safety. Combines our 5 fair-value models, P/E, EV/EBITDA, FCF yield, and the Buffett-style earnings-yield spread.

Capital Allocation (10 pts)

Dividend + buyback yield, payout sanity, ROIC vs WACC. Are managers compounding value or destroying it?

Momentum & Sentiment (10 pts)

Relative strength, EPS revisions, analyst consensus, insider activity, short interest sanity.

Verdict bands

85–100 Wonderful — best-in-class quality, attractive entry.
70–84 Solid — reliable compounder, monitor the price.
55–69 Average — the market is fair; nothing exceptional.
40–54 Risky — visible weaknesses; only worth holding with conviction.
0–39 Avoid — multiple red flags; do more diligence before buying.

For research and education only. Not investment advice.