Every name here clears a demanding screen — years of high returns and growing earnings. See the numbers for each, with today's P/E set against its own 10-year range.
The universe focuses on companies with a multi-year record of high ROE, ROIC and EPS growth, drawn from their disclosed financials. It is a filter based on past financials, not a list of recommendations.
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Where the P/E sits in its own history
Daxo shows where today's P/E sits within the company's own averaged 10-year range, split into quartiles. It is a factual comparison with the company's own valuation history.
⏳
When a company exits the screen
A company is marked as exited after two consecutive years of EPS decline with no recovery — a mechanical rule applied to disclosed earnings, with no judgement about price.
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Refreshed every month
The figures are refreshed monthly from each company's disclosed financials and the latest month-end prices, so the numbers stay current.
How the score works
The fundamentals score (out of 100) summarises business quality only. Separately, Daxo shows where the current P/E sits within the averaged 10-year range — lower quartile, mid-range, or upper quartile. The score and the P/E reading are independent of each other. Both are factual summaries of past results — not a rating of any share as an investment, and not a recommendation to buy, hold or sell.
📊 Business Quality
40 pts
Average of ROE and ROIC over 10 years. Higher is always better — no ceiling.
ROE + ROIC both above 40%
32–40 pts
ROE + ROIC 20–40%
15–31 pts
ROE + ROIC 10–20%
1–14 pts
Below 10% either metric
Hard fail
📈 EPS Growth
35 pts
10-year EPS compound annual growth rate. Multiple declines are allowed if each recovered above the pre-decline level within 2 years. A decline that does not recover signals structural deterioration.
CAGR above 10%
35 pts
CAGR 5–10%
1–34 pts
Below 5% CAGR
Hard fail
🤝 Management Alignment
25 pts
Insider ownership by CEO, directors, or founders. Skin in the game.
Above 20% insider ownership
20–25 pts
5–20% insider ownership
13–19 pts
2–5% insider ownership
7–12 pts
Below 2%
2–6 pts
💰 P/E vs 10-yr range
Not scored
Not in the score. The 10-year P/E range is calculated by averaging the annual P/E highs and lows over the trailing 10 fiscal years — this smooths out one-off extremes and reflects the stock's typical valuation regime. It is historical context, not a signal to buy or sell.
Bottom 25% of averaged 10yr range
Bottom 25% of range
25th – 75th percentile
25th–75th percentile
75th – 100th percentile
75th–90th percentile
Above averaged 10yr high
Above averaged 10yr high
📉 EPS Decline Filter
EPS growing or flat
PASS
One year of EPS decline, then recovery
PASS — resilient
Two consecutive years of EPS decline
FAIL — exits universe
Hard Filters — Entry Rules
A company must pass every filter. Failing one is a hard exclusion regardless of score.
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ROE Minimum
Must be ≥15% last 3 years
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ROIC Minimum
Must be ≥10% last 3 years
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EPS Decline
No 2 consecutive years of decline
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EPS Growth
Min 8% CAGR over 3 years
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Debt Ratio
Financial D/E <0.40 (ex-leases)
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Market Cap
Minimum $250M AUD
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Listing History
Minimum 10 years listed
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Exclusions
No Banks · Mining · REITs · Utilities
Important
Daxo presents factual information about listed companies. It does not constitute financial advice or a recommendation to buy, hold or sell any security, and does not take your personal circumstances into account. Figures are drawn from companies' disclosed financials and historical ASX prices. Consider seeking advice from a licensed financial adviser before making any investment decision.
The handful of numbers professionals use to size up a business — each one explained in plain English, so the data tells a story. Background only; never a recommendation.
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Take the 2-minute lesson
Six quick rounds and a quiz, walked through on a real ASX company. The fun way to start.
Start the lesson →
1
What you’re paying
Valuation — is today’s price rich or modest, judged only against this company’s own past.
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P/E vs its own 10-year range
Is today’s price high or low for this same company — measured against its own history, not its rivals.
Price-to-earnings shows what the market pays for each $1 a company earns. Daxo plots where today’s P/E sits inside that company’s own ten-year range — bottom, middle or top. It’s a factual comparison with its own history, and says nothing about where the price goes next.
10-yr lowmid10-yr high
2
How good the business is
Quality — how efficiently the company turns money into profit.
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Return on Equity (ROE)
Cents of profit earned on each $1 the owners have put in.
ROE measures profit generated for every dollar of shareholder equity. Consistently high ROE can point to an efficient business — though it can be lifted by heavy debt, which is why it’s read alongside ROIC.
$1
equity in
→
18¢
profit/yr
Higher = more efficient
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Return on Invested Capital (ROIC)
The same test, but counting borrowed money too — so debt can’t flatter it.
ROIC measures returns against all capital employed, including debt. Because borrowing doesn’t inflate it, many investors treat it as a cleaner read on how well a business turns capital into profit.
$1
equity + debt
→
15¢
profit/yr
Counts debt — harder to inflate
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Net Profit Margin (NPM)
Out of every $1 of sales, how much the company actually keeps.
A high, steady margin points to pricing power — a business that can charge a premium. A thin margin is typical of a higher-volume model. Daxo shows the 10-year trend for each company.
$1
of sales
→
22¢
kept
What it keeps as profit
3
Is profit growing?
Growth — the trend in earnings, plus the rule that flags trouble.
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EPS growth & the decline filter
The slice of profit behind each share — the engine of long-run returns.
Earnings per share is profit divided by shares on issue. Daxo shows the 10-year trend and the compound growth rate, and flags two consecutive years of EPS decline — the factual rule used to mark a company as having exited the screen.
10-year profit-per-share trend
4
Is it built to last?
Safety — how much risk sits in the balance sheet and the share register.
🛡️
Debt / Equity
How heavily the company leans on borrowed money — lower is sturdier.
This compares borrowings to shareholder equity. Lower ratios mean less reliance on debt. Shown over ten years, so you can see whether leverage is rising or falling.
Falling = less reliance on debt
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Share count
Your shares are slices of one pie — issue more and every slice quietly shrinks.
When a company issues more shares, each existing slice shrinks — dilution — dragging earnings per share down even when total profit rises. A flat or falling count works in shareholders’ favour. Daxo shows the 10-year trend.
Your slice
→
More shares issued
5
Whose side is management on?
Alignment — do the people running it own a real stake.
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Insider ownership
Skin in the game: when directors and founders own a chunk, they prosper when you do.
The share of the company held by directors, founders or executives. Higher insider ownership is often described as management having skin in the game. Daxo simply reports the disclosed figure.
Insiders hold a stakePublic market
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The fundamentals score
One 0–100 number that ties quality, growth and alignment together.
A transparent, mechanical score: business quality (40) + EPS growth (35) + insider ownership (25). There’s no P/E in the score and no view on the share price — it’s a summary of disclosed financials, not a recommendation.
050100
See the full formula in Method →
What Daxo is — and isn’t
Daxo is a factual reference tool for company fundamentals. It does not recommend stocks, issue buy/hold/sell calls, or take your personal circumstances into account. The numbers are a starting point for your own research. For advice tailored to you, speak with a licensed financial adviser.