I have been an enthusiast for CANSLIM ever since the early 1960’s. In fact I read O’Neil’s book about it. However your clinical analysis, and thoughtful illustration is brilliant. When I started with Stock Rover I kind of sensed that there was a CANSLIM “common link” and now the true power of your APP is clear. In your essay, I especially appreciated the comments relative to selling philosophy and exit strategy. Thank you so much. Reply
CANLISM is a good screener to find growth stocks. However, how do we backtest it? Where can we find evidence that it works? Reply
Good question. Back testing the CAN SLIM methodology would be very tricky because of the “softer factors” such as market direction and new products or service in the past. It would take a lot of manual work. Another approach is to create a virtual portfolio of CAN SLIM stocks now and see how they perform going forward, allowing the passage of time to act as a back test. Less work, but you have to see how the performance unfolds. Reply
Just looked at last 1 year growth, as of today, up 49.76%. Looks like it peaked about 6 months ago at $127.97 which would put its growth > 50%. Pretty good pick for a sample size of 1. This is a pretty cool tool. Reply
You will have more results if you change the screen from RSI > 69 to RS > 69. The CAN SLIM strategy calls for stocks with high Relative Strength (RS) within its own industry/sector to find the Leaders. The relative strength index (rsi) is a momentum indicator, and not a required element of CAN SLIM. Reply