| compatibility | Python 3.8+, standard library only. No network. No third-party packages. |
| description | Runs the 30-point value-investing checklist (Buffett 10, Lynch 8, Graham 8, Quality 4) over a DSE stock's fundamentals and returns a pass/fail with the actual value per criterion, weighted bucket scores and an Investment Grade (A+..F) with a 0-4.0 GPA. Use when the user wants a value screen, "is this a good long-term investment", Buffett/Graham/Lynch quality check, margin-of-safety/intrinsic-value read, or "does GP pass the value checklist" for a Dhaka Stock Exchange ticker. |
| license | Apache-2.0 |
| metadata | {"author":"stock-buddy","github-path":"skills/value-investment-checklist","github-pinned":"main","github-ref":"refs/heads/main","github-repo":"https://github.com/kuntal-r-d/my-skills","github-tree-sha":"74299d605c5ec14b4b603b5163bb31cf0a13a2d0","mode":["investment"],"prd_refs":["PRD-001:REQ-039","PRD-001:REQ-041"],"version":"0.1.0"} |
| name | value-investment-checklist |
Value Investment Checklist
When to use
Activate when a user wants a long-term value read on a DSE stock: "run the value
checklist on GP", "is BEXIMCO a good long-term investment?", "does this pass
Buffett's filters?", "what's the margin of safety here?", "Graham/Lynch quality
check". This is the value-leg companion to fundamental-analysis; feed its grade
into signal-synthesizer for the investment-mode verdict.
What it does
Scores the 30-point value checklist (PRD-001 REQ-039) across four buckets:
- Buffett (10) — economic moat, ROE>15%, D/E<0.5, profit margin>20%,
positive FCF, quality management, predictable earnings, ≥25% below intrinsic
value, understandable business, sustainable advantage.
- Lynch GARP (8) — PEG<1.0, earnings growth 15-30%, revenue growth
consistent with earnings, improving inventory turnover, insider buying,
institutional ownership<60%, buyback, P/E below the growth rate.
- Graham (8) — P/E<15, P/B<1.5, P/E×P/B<22.5, current ratio>2, pays a
dividend, long-run earnings growth, price<67% NCAV, earnings stability.
- Quality (4) — revenue growth beats inflation, healthy operating margin,
ROA>5%, interest coverage>3.
Each criterion passes/fails with its actual value and a beginner-friendly
explanation.
Scoring (REQ-041)
The three methodology buckets are weighted Buffett 35% / Lynch 30% /
Graham 35%. Quality is folded in as a fourth bucket given the average of
those three weights (~0.333). Each bucket's score is the fraction of its
evaluable criteria that pass; the four bucket fractions are weight-averaged and
renormalised so the weights sum to 1.0 (so a bucket with no usable data does not
penalise the total). The resulting 0..1 score maps to an Investment Grade with a
GPA: A+ ≥0.90 (4.0), A ≥0.80 (3.7), B+ ≥0.70 (3.3), B ≥0.60
(3.0), C ≥0.50 (2.0), D ≥0.40 (1.0), F <0.40 (0.0).
How to run
python3 scripts/checklist.py --input data.json --pretty
cat data.json | python3 scripts/checklist.py
Reads fundamentals (required) and optional macro.inflation (defaults to 0.06
for the "growth beats inflation" check). Returns score (0..1), confidence,
rating (the grade), key_metrics (gpa, overall count, per-bucket scores),
reasoning (✓/✗/? per criterion) and flags.
Try it now with the shared fixture:
python3 scripts/checklist.py --input ../_fixtures/sample_input.json --pretty
Interpreting output
rating A+/A — a high-quality compounder at a sensible price; B — solid with
gaps; C and below — quality or valuation concerns.key_metrics.gpa is the 0-4.0 academic-style grade-point.- Criteria that need missing data (e.g. no
intrinsic_value,
inventory_turnover) are marked ?, not counted, and surfaced as
missing:<field> flags — never silently dropped.
Notes
This skill is fundamentals-only and needs no price history, so it carries no
indicator module. All 30 criteria, with beginner explanations and
Buffett/Graham/Lynch attribution, are in
references/CRITERIA.md. Output is educational analysis
only, never financial advice.
