Based on extensive backtesting, these are the best-performing Sabrient filters, by market cap, for the month of November 2006. These filters substantially outperformed their index benchmarks during the past three months and indicate the kinds of qualities the market is rewarding in December 2006.

LARGE-CAPS  

Valuation Ratios Filter
The Valuation Ratios Filter is a proxy for fundamental valuation, bestowing high Sabrient scores on stocks with low, and therefore favorable, valuation ratios such as price-to-earnings and price-to-sales.

Financial Quality Filter
The Financial Quality Filter assesses a company's financial health, emphasizing cash flow, along with projections for bottom-line and recent top-line growth.

Price Momentum Filter
The Price Momentum Filter is a short-term, performance-based filter that measures quarterly share price performance to highlight stocks with recent sharp price gains relative to other stocks.

MID-CAPS  

GARP Filter
The GARP filter is a proxy for "growth at a reasonable price." A high score indicates a reasonable price for the growth potential; a low score suggests the growth potential may be overpriced.

Price Trend Filter
The Price Trend Filter uses a sophisticated statistical analysis to evaluate a stock's current price with respect to its long-term trend and to compare the result to the stock's core growth characteristics. A high score means the stock is below its long-term trend, especially in light of its earnings performance. A low score means the stock is above its long-term trend and may likely fall back to or below the mean.

Financial Quality Filter
The Financial Quality Filter assesses a company's financial health, emphasizing cash flow, along with projections for bottom-line and recent top-line growth.

SMALL-CAPS  

Turnaround Filter
The Turnaround Filter gives high scores to stocks that exhibit low relative valuations and relatively stagnant EPS growth over the last three years, but have favorable EPS projections that have not yet been rewarded by the market.

Valuation Ratios Filter
The Valuation Ratios Filter is a proxy for fundamental valuation, bestowing high Sabrient scores on stocks with low, and therefore favorable, valuation ratios such as price-to-earnings and price-to-sales.

Earnings Momentum Filter
The Earnings Momentum Filter scores stocks for rapid acceleration in earnings momentum over the past four quarters.

MICRO-CAPS  

Momentum Dynamics Filter
The Momentum Dynamics Filter measures EPS, price and group momentum over multiple time periods. In addition, this key momentum filter measures the flow of money into a stock and the change in that flow in the most recent 90 days.

Momentum Rank Change Filter
The Momentum Rank Change Filter measures short-term changes among key momentum measures, including earnings, price and group momentum.

Primary Value Filter
The Primary Value Filter measures key growth and valuation ratios, both long-term and short-term.