Advanced Automatic Investor

[aptus]

Hi 1step,

I noticed VSS is now recommending 4 stocks (as of earlier this week). However VSS filters on fundamentals AND price so there may not be much correlation with a graph based solely on price.

In addition, VSS calculates intrinsic value and then builds in a margin of safety, so, the higher stock prices rise, the less chance VSS will recommend more stocks as being undervalued.

If 70% of prices are in the first quartile, then it makes sense that fewer stocks will be considered undervalued and thus VSS will return fewer recommendations.

Regards,
Mark.