Piotroski F-score
A 0–9 score from nine accounting tests of profitability, leverage and efficiency.
Formula
F-score = number of these nine tests passed: ROA > 0 · operating cash flow > 0 · ROA improving operating cash flow > net income · leverage falling current ratio improving · no new shares issued gross margin expanding · asset turnover improving
How to read it
8–9 is strong, 0–2 weak. Most useful for separating healthy cheap stocks from cheap ones in trouble.
How to use it
Separates improving value stocks from deteriorating ones.
Limitations
Built from two years of filings; a one-off can flip several tests.
In Kereon
Investing · company. Computed from the filings, not fetched.
Investing · company. From the two latest annual filings; leverage is long-term debt ÷ total assets. At least seven of the nine tests must be computable, or no score is shown — and a test that cannot be computed counts as not passed.
Also called: piotroski, piotroski f-score, f-score.