Finding Quality Stocks Using Terry Smith Portfolio Metrics

In this video, we walk you through the exact filters designed to find high-quality companies with strong fundamentals and fair valuations.

In this video, I would like to introduce you to a new fundamental investment idea added in Chartmill 'Terry Smith Stock Picks', based on the strategy of Terry Smith, a respected investor and fund manager from the UK.
In the last 5 years the Free Cash Flow has grown
The debt is less than 5 times the Free Cash Flow
The interest coverage is least 10
A 5 year average ROCE of at least 15%
A gross margin of at least 55%
An fcf yield of at least 3.33%
An operating margin of at least 20%
At least 90% of EBITDA is converted into cash flow
Exclude low profitability industries
Avoid very small caps
Long term chart
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