Curated shortlist entries from deep-dive analysis, cross-referenced with Stage 1, Stage 2 quality scores, and growth metrics.
7 stocks · Generated 2026-06-06 02:56 UTC
Hover over issue pills for detailed test values and thresholds.
| # | Tier | Ticker | Company | Thesis | S1 | S2 | Stars | PE | ROE | NMarg | Rev 3Y | FCF Yld | D/E | Cash/Cap | Issues |
|---|
| Module A — Earnings Quality | ||||
| A1 | Cash Conversion | 1.28× | ● Green (0) | |
Cash Conversion — Operating cash flow as a ratio of net income — measures earnings quality and cash backing. ≥ 0.9× Green | ≥ 0.6× Yellow | < 0.6× Red | ||||
| A2 | Non-Operating Income | -0.13× | ● Green (0) | |
Non-Operating Income — Share of net income not explained by operating income — high values flag reliance on non-recurring items. ≤ 20% Green | ≤ 50% Yellow | > 50% Red | ||||
| Module B — Business Momentum | ||||
| B1 | Revenue Growth YoY | +3.9% | ● Yellow (1) | |
Revenue Growth YoY — Year-over-year revenue growth rate — trend deterioration adds a penalty point. ≥ +5% Green | ≥ −5% Yellow | < −5% Red | ||||
| B2 | Operating Leverage | -1.8% | ● Yellow (1) | |
Operating Leverage — Gross profit growth minus revenue growth — positive means margins are expanding with scale. ≥ 0pp Green | ≥ −5pp Yellow | < −5pp Red | ||||
| Module C — Balance Sheet Trajectory | ||||
| C1 | Net Debt / EBITDA | -2.80× | ● Green (0) | |
Net Debt / EBITDA — Financial leverage ratio — rising leverage over time adds a penalty point. ≤ 1.5× Green | ≤ 3.0× Yellow | > 3.0× Red | ||||
| C2 | Receivables vs Revenue Δ | +0.9% | ● Yellow (1) | |
Receivables vs Revenue Δ — Receivables growth minus revenue growth — excess receivables growth can signal revenue quality issues. ≤ 0pp Green | ≤ +15pp Yellow | > +15pp Red | ||||
| Module D — Profitability Sustainability | ||||
| D1 | Gross Margin 3Y Change | +28.7% | ● Green (0) | |
Gross Margin 3Y Change — 3-year gross margin change plus volatility check — persistent margin erosion scores Red. ≥ −2pp Green | ≥ −8pp Yellow | < −8pp Red | ||||
| D2 | NI / GP Stability | 0.36× | ● Green (0) | |
NI / GP Stability — Deviation of NI/GP ratio from its historical median — spikes or crashes both flag earnings quality risk. ≤ ±30% dev Green | ≤ ±80% Yellow | > ±80% Red | ||||
| Module E — Sector Cycle Risk | ||||
| E1 | Revenue vs 5-Year Peak | 1.00× | ● Green (0) | |
Revenue vs 5-Year Peak — Current revenue as a fraction of 5-year peak — a large gap signals cyclical trough or structural decline. ≥ 95% Green | ≥ 85% Yellow | < 85% Red | ||||
| E2 | Revenue Growth Volatility | +3.1% | ● Green (0) | |
Revenue Growth Volatility — Standard deviation of YoY revenue growth rates — high volatility indicates cyclical or unpredictable business. ≤ 10% σ Green | ≤ 25% Yellow | > 25% Red | ||||
| Module A — Earnings Quality | ||||
| A1 | Cash Conversion | 1.13× | ● Green (1) | |
Cash Conversion — Operating cash flow as a ratio of net income — measures earnings quality and cash backing. ≥ 0.9× Green | ≥ 0.6× Yellow | < 0.6× Red | ||||
| A2 | Non-Operating Income | -0.12× | ● Green (0) | |
Non-Operating Income — Share of net income not explained by operating income — high values flag reliance on non-recurring items. ≤ 20% Green | ≤ 50% Yellow | > 50% Red | ||||
| Module B — Business Momentum | ||||
| B1 | Revenue Growth YoY | +13.4% | ● Green (0) | |
Revenue Growth YoY — Year-over-year revenue growth rate — trend deterioration adds a penalty point. ≥ +5% Green | ≥ −5% Yellow | < −5% Red | ||||
| B2 | Operating Leverage | +0.8% | ● Green (0) | |
Operating Leverage — Gross profit growth minus revenue growth — positive means margins are expanding with scale. ≥ 0pp Green | ≥ −5pp Yellow | < −5pp Red | ||||
| Module C — Balance Sheet Trajectory | ||||
| C1 | Net Debt / EBITDA | -1.89× | ● Green (1) | |
Net Debt / EBITDA — Financial leverage ratio — rising leverage over time adds a penalty point. ≤ 1.5× Green | ≤ 3.0× Yellow | > 3.0× Red | ||||
| C2 | Receivables vs Revenue Δ | -9.6% | ● Green (0) | |
Receivables vs Revenue Δ — Receivables growth minus revenue growth — excess receivables growth can signal revenue quality issues. ≤ 0pp Green | ≤ +15pp Yellow | > +15pp Red | ||||
| Module D — Profitability Sustainability | ||||
| D1 | Gross Margin 3Y Change | +37.9% | ● Green (0) | |
Gross Margin 3Y Change — 3-year gross margin change plus volatility check — persistent margin erosion scores Red. ≥ −2pp Green | ≥ −8pp Yellow | < −8pp Red | ||||
| D2 | NI / GP Stability | 0.39× | ● Green (0) | |
NI / GP Stability — Deviation of NI/GP ratio from its historical median — spikes or crashes both flag earnings quality risk. ≤ ±30% dev Green | ≤ ±80% Yellow | > ±80% Red | ||||
| Module E — Sector Cycle Risk | ||||
| E1 | Revenue vs 5-Year Peak | 0.97× | ● Green (0) | |
Revenue vs 5-Year Peak — Current revenue as a fraction of 5-year peak — a large gap signals cyclical trough or structural decline. ≥ 95% Green | ≥ 85% Yellow | < 85% Red | ||||
| E2 | Revenue Growth Volatility | +19.5% | ● Yellow (1) | |
Revenue Growth Volatility — Standard deviation of YoY revenue growth rates — high volatility indicates cyclical or unpredictable business. ≤ 10% σ Green | ≤ 25% Yellow | > 25% Red | ||||
| Module A — Earnings Quality | ||||
| A1 | Cash Conversion | 0.98× | ● Green (1) | |
Cash Conversion — Operating cash flow as a ratio of net income — measures earnings quality and cash backing. ≥ 0.9× Green | ≥ 0.6× Yellow | < 0.6× Red | ||||
| A2 | Non-Operating Income | -0.19× | ● Green (0) | |
Non-Operating Income — Share of net income not explained by operating income — high values flag reliance on non-recurring items. ≤ 20% Green | ≤ 50% Yellow | > 50% Red | ||||
| Module B — Business Momentum | ||||
| B1 | Revenue Growth YoY | +23.0% | ● Green (1) | |
Revenue Growth YoY — Year-over-year revenue growth rate — trend deterioration adds a penalty point. ≥ +5% Green | ≥ −5% Yellow | < −5% Red | ||||
| B2 | Operating Leverage | +1.6% | ● Green (0) | |
Operating Leverage — Gross profit growth minus revenue growth — positive means margins are expanding with scale. ≥ 0pp Green | ≥ −5pp Yellow | < −5pp Red | ||||
| Module C — Balance Sheet Trajectory | ||||
| C1 | Net Debt / EBITDA | -2.10× | ● Green (1) | |
Net Debt / EBITDA — Financial leverage ratio — rising leverage over time adds a penalty point. ≤ 1.5× Green | ≤ 3.0× Yellow | > 3.0× Red | ||||
| C2 | Receivables vs Revenue Δ | -30.3% | ● Green (0) | |
Receivables vs Revenue Δ — Receivables growth minus revenue growth — excess receivables growth can signal revenue quality issues. ≤ 0pp Green | ≤ +15pp Yellow | > +15pp Red | ||||
| Module D — Profitability Sustainability | ||||
| D1 | Gross Margin 3Y Change | +32.4% | ● Green (1) | |
Gross Margin 3Y Change — 3-year gross margin change plus volatility check — persistent margin erosion scores Red. ≥ −2pp Green | ≥ −8pp Yellow | < −8pp Red | ||||
| D2 | NI / GP Stability | 0.61× | ● Green (0) | |
NI / GP Stability — Deviation of NI/GP ratio from its historical median — spikes or crashes both flag earnings quality risk. ≤ ±30% dev Green | ≤ ±80% Yellow | > ±80% Red | ||||
| Module E — Sector Cycle Risk | ||||
| E1 | Revenue vs 5-Year Peak | 1.00× | ● Green (0) | |
Revenue vs 5-Year Peak — Current revenue as a fraction of 5-year peak — a large gap signals cyclical trough or structural decline. ≥ 95% Green | ≥ 85% Yellow | < 85% Red | ||||
| E2 | Revenue Growth Volatility | +11.6% | ● Yellow (1) | |
Revenue Growth Volatility — Standard deviation of YoY revenue growth rates — high volatility indicates cyclical or unpredictable business. ≤ 10% σ Green | ≤ 25% Yellow | > 25% Red | ||||
| Module A — Earnings Quality | ||||
| A1 | Cash Conversion | 1.41× | ● Green (1) | |
Cash Conversion — Operating cash flow as a ratio of net income — measures earnings quality and cash backing. ≥ 0.9× Green | ≥ 0.6× Yellow | < 0.6× Red | ||||
| A2 | Non-Operating Income | 0.22× | ● Yellow (1) | |
Non-Operating Income — Share of net income not explained by operating income — high values flag reliance on non-recurring items. ≤ 20% Green | ≤ 50% Yellow | > 50% Red | ||||
| Module B — Business Momentum | ||||
| B1 | Revenue Growth YoY | +4.2% | ● Yellow (1) | |
Revenue Growth YoY — Year-over-year revenue growth rate — trend deterioration adds a penalty point. ≥ +5% Green | ≥ −5% Yellow | < −5% Red | ||||
| B2 | Operating Leverage | +26.0% | ● Green (0) | |
Operating Leverage — Gross profit growth minus revenue growth — positive means margins are expanding with scale. ≥ 0pp Green | ≥ −5pp Yellow | < −5pp Red | ||||
| Module C — Balance Sheet Trajectory | ||||
| C1 | Net Debt / EBITDA | -3.80× | ● Green (0) | |
Net Debt / EBITDA — Financial leverage ratio — rising leverage over time adds a penalty point. ≤ 1.5× Green | ≤ 3.0× Yellow | > 3.0× Red | ||||
| C2 | Receivables vs Revenue Δ | +20.0% | ● Red (2) | |
Receivables vs Revenue Δ — Receivables growth minus revenue growth — excess receivables growth can signal revenue quality issues. ≤ 0pp Green | ≤ +15pp Yellow | > +15pp Red | ||||
| Module D — Profitability Sustainability | ||||
| D1 | Gross Margin 3Y Change | +28.6% | ● Green (0) | |
Gross Margin 3Y Change — 3-year gross margin change plus volatility check — persistent margin erosion scores Red. ≥ −2pp Green | ≥ −8pp Yellow | < −8pp Red | ||||
| D2 | NI / GP Stability | 1.14× | ● Green (0) | |
NI / GP Stability — Deviation of NI/GP ratio from its historical median — spikes or crashes both flag earnings quality risk. ≤ ±30% dev Green | ≤ ±80% Yellow | > ±80% Red | ||||
| Module E — Sector Cycle Risk | ||||
| E1 | Revenue vs 5-Year Peak | 1.00× | ● Green (0) | |
Revenue vs 5-Year Peak — Current revenue as a fraction of 5-year peak — a large gap signals cyclical trough or structural decline. ≥ 95% Green | ≥ 85% Yellow | < 85% Red | ||||
| E2 | Revenue Growth Volatility | +4.6% | ● Green (0) | |
Revenue Growth Volatility — Standard deviation of YoY revenue growth rates — high volatility indicates cyclical or unpredictable business. ≤ 10% σ Green | ≤ 25% Yellow | > 25% Red | ||||
| Module A — Earnings Quality | ||||
| A1 | Cash Conversion | 1.23× | ● Green (0) | |
Cash Conversion — Operating cash flow as a ratio of net income — measures earnings quality and cash backing. ≥ 0.9× Green | ≥ 0.6× Yellow | < 0.6× Red | ||||
| A2 | Non-Operating Income | -0.09× | ● Green (0) | |
Non-Operating Income — Share of net income not explained by operating income — high values flag reliance on non-recurring items. ≤ 20% Green | ≤ 50% Yellow | > 50% Red | ||||
| Module B — Business Momentum | ||||
| B1 | Revenue Growth YoY | +15.1% | ● Green (0) | |
Revenue Growth YoY — Year-over-year revenue growth rate — trend deterioration adds a penalty point. ≥ +5% Green | ≥ −5% Yellow | < −5% Red | ||||
| B2 | Operating Leverage | -2.0% | ● Yellow (1) | |
Operating Leverage — Gross profit growth minus revenue growth — positive means margins are expanding with scale. ≥ 0pp Green | ≥ −5pp Yellow | < −5pp Red | ||||
| Module C — Balance Sheet Trajectory | ||||
| C1 | Net Debt / EBITDA | 0.21× | ● Green (1) | |
Net Debt / EBITDA — Financial leverage ratio — rising leverage over time adds a penalty point. ≤ 1.5× Green | ≤ 3.0× Yellow | > 3.0× Red | ||||
| C2 | Receivables vs Revenue Δ | +68.5% | ● Red (2) | |
Receivables vs Revenue Δ — Receivables growth minus revenue growth — excess receivables growth can signal revenue quality issues. ≤ 0pp Green | ≤ +15pp Yellow | > +15pp Red | ||||
| Module D — Profitability Sustainability | ||||
| D1 | Gross Margin 3Y Change | +30.4% | ● Yellow (1) | |
Gross Margin 3Y Change — 3-year gross margin change plus volatility check — persistent margin erosion scores Red. ≥ −2pp Green | ≥ −8pp Yellow | < −8pp Red | ||||
| D2 | NI / GP Stability | 0.44× | ● Green (0) | |
NI / GP Stability — Deviation of NI/GP ratio from its historical median — spikes or crashes both flag earnings quality risk. ≤ ±30% dev Green | ≤ ±80% Yellow | > ±80% Red | ||||
| Module E — Sector Cycle Risk | ||||
| E1 | Revenue vs 5-Year Peak | 1.00× | ● Green (0) | |
Revenue vs 5-Year Peak — Current revenue as a fraction of 5-year peak — a large gap signals cyclical trough or structural decline. ≥ 95% Green | ≥ 85% Yellow | < 85% Red | ||||
| E2 | Revenue Growth Volatility | +7.8% | ● Green (0) | |
Revenue Growth Volatility — Standard deviation of YoY revenue growth rates — high volatility indicates cyclical or unpredictable business. ≤ 10% σ Green | ≤ 25% Yellow | > 25% Red | ||||
| Module A — Earnings Quality | ||||
| A1 | Cash Conversion | 2.47× | ● Green (1) | |
Cash Conversion — Operating cash flow as a ratio of net income — measures earnings quality and cash backing. ≥ 0.9× Green | ≥ 0.6× Yellow | < 0.6× Red | ||||
| A2 | Non-Operating Income | -0.42× | ● Green (0) | |
Non-Operating Income — Share of net income not explained by operating income — high values flag reliance on non-recurring items. ≤ 20% Green | ≤ 50% Yellow | > 50% Red | ||||
| Module B — Business Momentum | ||||
| B1 | Revenue Growth YoY | +1.5% | ● Yellow (2) | |
Revenue Growth YoY — Year-over-year revenue growth rate — trend deterioration adds a penalty point. ≥ +5% Green | ≥ −5% Yellow | < −5% Red | ||||
| B2 | Operating Leverage | -0.1% | ● Yellow (1) | |
Operating Leverage — Gross profit growth minus revenue growth — positive means margins are expanding with scale. ≥ 0pp Green | ≥ −5pp Yellow | < −5pp Red | ||||
| Module C — Balance Sheet Trajectory | ||||
| C1 | Net Debt / EBITDA | -1.24× | ● Green (0) | |
Net Debt / EBITDA — Financial leverage ratio — rising leverage over time adds a penalty point. ≤ 1.5× Green | ≤ 3.0× Yellow | > 3.0× Red | ||||
| C2 | Receivables vs Revenue Δ | +33.7% | ● Red (2) | |
Receivables vs Revenue Δ — Receivables growth minus revenue growth — excess receivables growth can signal revenue quality issues. ≤ 0pp Green | ≤ +15pp Yellow | > +15pp Red | ||||
| Module D — Profitability Sustainability | ||||
| D1 | Gross Margin 3Y Change | +69.2% | ● Green (0) | |
Gross Margin 3Y Change — 3-year gross margin change plus volatility check — persistent margin erosion scores Red. ≥ −2pp Green | ≥ −8pp Yellow | < −8pp Red | ||||
| D2 | NI / GP Stability | 0.13× | ● Green (0) | |
NI / GP Stability — Deviation of NI/GP ratio from its historical median — spikes or crashes both flag earnings quality risk. ≤ ±30% dev Green | ≤ ±80% Yellow | > ±80% Red | ||||
| Module E — Sector Cycle Risk | ||||
| E1 | Revenue vs 5-Year Peak | 1.00× | ● Green (0) | |
Revenue vs 5-Year Peak — Current revenue as a fraction of 5-year peak — a large gap signals cyclical trough or structural decline. ≥ 95% Green | ≥ 85% Yellow | < 85% Red | ||||
| E2 | Revenue Growth Volatility | +6.5% | ● Green (0) | |
Revenue Growth Volatility — Standard deviation of YoY revenue growth rates — high volatility indicates cyclical or unpredictable business. ≤ 10% σ Green | ≤ 25% Yellow | > 25% Red | ||||
| Module A — Earnings Quality | ||||
| A1 | Cash Conversion | 0.84× | ● Yellow (2) | |
Cash Conversion — Operating cash flow as a ratio of net income — measures earnings quality and cash backing. ≥ 0.9× Green | ≥ 0.6× Yellow | < 0.6× Red | ||||
| A2 | Non-Operating Income | -0.12× | ● Green (0) | |
Non-Operating Income — Share of net income not explained by operating income — high values flag reliance on non-recurring items. ≤ 20% Green | ≤ 50% Yellow | > 50% Red | ||||
| Module B — Business Momentum | ||||
| B1 | Revenue Growth YoY | -1.7% | ● Yellow (2) | |
Revenue Growth YoY — Year-over-year revenue growth rate — trend deterioration adds a penalty point. ≥ +5% Green | ≥ −5% Yellow | < −5% Red | ||||
| B2 | Operating Leverage | -0.6% | ● Yellow (1) | |
Operating Leverage — Gross profit growth minus revenue growth — positive means margins are expanding with scale. ≥ 0pp Green | ≥ −5pp Yellow | < −5pp Red | ||||
| Module C — Balance Sheet Trajectory | ||||
| C1 | Net Debt / EBITDA | -1.43× | ● Green (0) | |
Net Debt / EBITDA — Financial leverage ratio — rising leverage over time adds a penalty point. ≤ 1.5× Green | ≤ 3.0× Yellow | > 3.0× Red | ||||
| C2 | Receivables vs Revenue Δ | +54.1% | ● Red (2) | |
Receivables vs Revenue Δ — Receivables growth minus revenue growth — excess receivables growth can signal revenue quality issues. ≤ 0pp Green | ≤ +15pp Yellow | > +15pp Red | ||||
| Module D — Profitability Sustainability | ||||
| D1 | Gross Margin 3Y Change | +76.2% | ● Green (0) | |
Gross Margin 3Y Change — 3-year gross margin change plus volatility check — persistent margin erosion scores Red. ≥ −2pp Green | ≥ −8pp Yellow | < −8pp Red | ||||
| D2 | NI / GP Stability | 0.38× | ● Green (0) | |
NI / GP Stability — Deviation of NI/GP ratio from its historical median — spikes or crashes both flag earnings quality risk. ≤ ±30% dev Green | ≤ ±80% Yellow | > ±80% Red | ||||
| Module E — Sector Cycle Risk | ||||
| E1 | Revenue vs 5-Year Peak | 0.98× | ● Green (0) | |
Revenue vs 5-Year Peak — Current revenue as a fraction of 5-year peak — a large gap signals cyclical trough or structural decline. ≥ 95% Green | ≥ 85% Yellow | < 85% Red | ||||
| E2 | Revenue Growth Volatility | +19.7% | ● Yellow (1) | |
Revenue Growth Volatility — Standard deviation of YoY revenue growth rates — high volatility indicates cyclical or unpredictable business. ≤ 10% σ Green | ≤ 25% Yellow | > 25% Red | ||||
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