Turnaround stocks

Definition

Turnaround stocks are shares of companies that have faced setbacks but show signs of recovery. They combine attractive valuation with emerging positive momentum. While they can offer significant returns, they carry inherent risks due to their unpredictable futures. Distinguishing genuine recoveries from mere value traps is essential for successful investment in these stocks.

Filters

The screener highlights shares blending favorable valuation and rising momentum. Valuation metrics include P/B, P/E, P/S, P/FCF, Earnings Yield, and Dividend Yield. For momentum, it factors in 52-week highs, relative strength, and earnings upgrades.

Turnarounds