How StocksWizard scores stocks

Our data

We refresh fundamentals, prices and institutional flows once a day from public end-of-day sources, then our own models compute every score. Nothing on the site is republished from a paid vendor feed — the metrics are StocksWizard's own derived estimates. The refresh date is shown in the strip at the top of every page, so you always know how fresh a number is.

Intrinsic value (fair value)

Our fair value blends two independent approaches so neither dominates:

• Discounted cash flow — a five-year DCF that projects free cash flow, discounts it at a cost of equity derived from the stock's risk, and adds a terminal value.
• Relative valuation — what the business is worth on fair sector multiples (P/E, P/B and EV-based), so a cheap-vs-peers read balances the DCF.

The blend is compared with the live price to give an upside or downside and a margin of safety, and the stock is labelled undervalued, fair or overvalued. Each estimate carries a confidence (high / medium / low). Where the cash-flow or multiples inputs are too unreliable — early-stage, loss-making or thinly reported names — we publish insufficient instead of a misleading number.

The Buy / Hold / Sell verdict

The headline verdict is a single 0–100 overall score blending four pillars:

• Quality — profitability, returns on capital and balance-sheet strength.
• Valuation — price against our fair value and against the sector.
• Momentum — the strength and consistency of the price trend.
• Trend — the direction of the most recent reported financials.

The score maps to Strong Buy, Buy, Hold, Sell or Strong Sell. We also raise a risk flag when a stock looks structurally overvalued or shows solvency stress, so a high momentum score can never mask a fragile balance sheet.

Financial health

Financial health is anchored on the Altman Z-score, a long-established bankruptcy-risk model, expressed as a 0–100 solvency score with a letter grade and a band — safe, grey or distress. Where a company's structure makes the classic Z-score unreliable (for example financials), we fall back to a leverage, liquidity and interest-coverage ratio model. Alongside it we show the Piotroski F-score (0–9), which rewards improving profitability, leverage and operating efficiency year on year.

Durability, Valuation & Momentum scores

Every stock also carries three 0–100 sub-scores you can screen and sort on:

• Durability rewards strong, low-debt, consistently profitable businesses.
• Valuation rewards stocks that look cheap relative to their sector and history.
• Momentum rewards strong, persistent price trends.

These feed the overall verdict but are also useful on their own — pair momentum with durability and valuation rather than chasing it alone.

The investability checklist

The checklist runs up to 14 plain-English pass/fail tests across fundamentals (returns, debt, cash flow, growth), valuation and technicals, then scores how many a stock clears. It is deliberately simple: a quick, transparent read on whether a business and its price stack up, with every check explained on the stock's page.

SWOT

The strengths, weaknesses, opportunities and threats shown on each stock are derived automatically from the same underlying metrics — high returns on equity become a strength, heavy leverage a weakness, and so on — to summarise the numbers in words.

Limits — and what we don't do

These are models, not forecasts. They use end-of-day public data that can be delayed or wrong, they cannot read management quality, litigation, regulation or one-off events, and a fair value is a range dressed up as a number. We do not give personalised advice, take positions, accept payment to rate a stock, or claim to predict prices.

Important

StocksWizard is an informational and educational tool, not a SEBI-registered investment adviser, and nothing here is investment advice or a recommendation to buy or sell. Please read our full disclaimer and verify everything independently before investing.