The Value Line Investment Survey tracks approximately 1,700 publicly traded companies and its goal is to provide a comprehensive reference source that serves many different sorts of subscribers that adhere to a wide variety of investment goals and philosophies. We are constantly initiating coverage of new equities to replace stocks that have been removed due to acquisition, bankruptcy, lack of investor appeal, etc. When selecting a stock for inclusion, we consider a variety of factors to ensure that the addition will be of great interest to our subscribers. As always, Value Line offers truly independent research; we do not solicit or accept compensation from the companies that we track, nor do we receive payment for initiating coverage of a new equity.
When selecting a new stock, we try to focus on companies that are relatively large, meaning that they achieve annual sales of at least $50 million, while their corresponding issues hold minimum market capitalizations of $250 million. Profitability, the payment of dividends, market niche, as well as near- and long-term growth prospects are also considered. Even with such broad criteria, admittedly, the choosing of a specific stock is more of an art than a science. That said, most important, we focus on stocks that possess a float of at least 10 million shares (Float refers to the total number of shares publicly owned and available for trading). In our view, an equity that holds ample float suggests wide interest by the investment community, as well as the existence of adequate liquidity for investors to buy and sell the stock without experiencing undue price volatility.
Our selection is not limited in regard to the length of a stock’s trading history. We have and will continue to add to our coverage stocks that have long trading histories, sometimes decades of history, and companies that recently conducted an initial public offering, or that have been spun off. Furthermore, we do not strive to be trendy. We often launch coverage of stocks that are in fashion, but also continue to track companies that are no longer in vogue. This helps to ensure that when times change and today’s laggards return to favor, Value Line will already be there with well-established coverage.
In all, The Value Line Investment Survey tracks approximately 1,700 companies across about 100 industries. We are constantly initiating coverage of new equities that are hopefully of great interest to our subscribers, and our goal is to provide research that can be utilized by investors to meet a wide variety of investment goals and strategies.