Rookie Investor Scorecard (Public)

	A	B	C	D	E
1	Weight	Item	Min	Max	Reference

2	58%	1. Current and Future Value drivers
3		Network effect: does the company value proposition increase and marginal cost decreases when more participants are added, both customers and providers, and is there a critical mass of participants already? Can be negative if the addition of participants decrease the provided value or increase the marginal cost or if competitors are better positioned to reach critical volume before.	-1	2	Anti-fragile Framework
4		Switching costs (both in terms of investment, data and knowledge) and Price Premium (for example if there are few alternatives, or freemium model with high NetRetentionRate) +1 for each.	0	2	Anti-fragile Framework
5		Recurring purchase with short repurchase cycle or long term commitments	0	2	Charlie Tian"Good Company" definition
6		Operating Margin (+1 if higher than 10%, +1 if expanding, -1 if contracting, +1 if higher than industry)	-1	3	Charlie Tian"Good Company" definition
7		Industry Barriers to entry (regulation, licences, fda approval, gate-keeping etc.)	0	1	Rookie Investor customizatiom
8		Intangibles (Brand/Quality, NPS, patents or hard to copy design, trade secret or hard to copy/reproduce method, counter poistionning)	0	2	Anti-fragile Framework
9		Future Growth: Will develop new ways to grow business (from 0 to 1 depending on track record and potential)? Double Digits Organic Growth runway (0 to 1 depending on Industry + market share trend for next 10 yrs)? Proven industry leadership or building it faster than competitors (0.5)? International growth (0.5)?	0	3	Anti-fragile Framework
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11	19%	2. Risk and value creation track record
12		Capital alocation Health, sumed up by GF Financial Strenght Score	-1	1	Rookie Investor customizatiom
13		Concentration in either clients/leads or products (0 to -2)	-2	0	Anti-fragile Framework
14		Resilience: +1 if able to produce profit in each one of the past 10 years	0	1	Charlie Tian"Good Company" definition
15		10-year average ROIC and growth (+2 if higher than 14%, +1 if higher than 10%, else -1, +1 if growing trend, -1 if decreasing) - could be considered as low cost moat	0	0	Charlie Tian"Good Company" definition
16		Past value creation: +2 if L5Y FCF growth > 20%, +1 if L5Y FCF growth > 10%, if only 3Y of data then +1 if L3Y FCF growth > 20%, and +1 if accelerating trend L3Y growth > L5Y. -1 if FCF growth negative L5Y or less than 10% if only 3Y of data, or if no data	-1	3	Charlie Tian"Good Company" definition
17		Exposure to economic cycles or pandemics	-2	0	Charlie Tian"Good Company" definition
18		Geo political risk (regulation, instability, sales and supply chain) or Ecosystem risk (contradictory incentives between network participants)	-2	0	Rookie Investor customizatiom
19		ESG Risk (-1 if high)	-1	0	Rookie Investor customizatiom
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21	12%	3. Grit (mix of passion and perserverance)
22		Glassdoor: (+1 for 4.0 or higher, 0 if 3.5 to 4, -1 if below 3.5)	-1	1	Anti-fragile Framework
23		Mission Statement - Simple, inspirational, optionable	0	0.5	Anti-fragile Framework
24		Founder/Family Run/Long Tenured CEO: (+ if involved)	0	0.5	Rookie Investor customizatiom
25		Ownership: (- if less than 4%, 0 if 4% to 8%, + if more than 8%)	-1	1	Anti-fragile Framework
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27	12%	4. Smart(er) Money
28		Hedge funds increasing positions? (+0.5 if positive)	0	0.5	Rookie Investor customizatiom
29		Insiders Buying? +2 of Insider at the company has bought	0	2	Rookie Investor customizatiom
30		Short Term Propect according to Analyst forecast (+0.5 if mean price target +19%, 0 if between 0 an +19%, -0.5 if negative)	-0.5	0.5	Rookie Investor customizatiom
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33	100%	Total: (Minimum of 10 to invest, Fabulous from 15 and above)	-13.5	26
34		Automated Partial Score	-6.5	13.5	#VALUE!
35		Fundamentals (poor if less than 3, average if 3 to 4, good if 5 to 7, wonderfull if 8 or more	-4	8	#VALUE!
36		Inspired by Brian Stoffel´s Anti Fragile Framework
37		https://www.fool.com/investing/2019/08/25/how-i-beat-the-market-tripled-it-in-fact-over-the.aspx
38		And
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