How Wealth Catchers Researches Stocks
What our research tools measure, how a Research View is formed, and where the line sits between our research and your decision.
From data to your decision
Data
Prices, financial statements, SEC filings and analyst estimates from public sources, including Yahoo Finance and SEC EDGAR.
Framework
Our published criteria for judging a business: growth, profitability, balance sheet, cash flow, valuation, price trend and market evidence.
Analysis
The data run through the framework: what passes, what doesn’t, where the price sits against its long-term averages, and what the risks are.
Wealth Catchers Research View
Our interpretation of all that evidence, as of a date: Buy, Hold or Sell.
Your decision
What you do with it is up to you. Our research is general and impersonal; it doesn’t know your goals, timeline or finances.
Each tool answers a different question
WC Stock Score: how much of our framework does this company meet?
The WC Stock Score checks a company against 24 criteria across 7 categories: revenue growth, profitability, balance sheet, free cash flow, valuation, price and momentum, and market intelligence. Each criterion that passes earns its points. Criteria that don’t fit a sector (debt-to-equity for a bank, for example) are set aside, and the score is the share of the remaining points the company meets, from 0 to 100.
A 62 means the company meets 62% of the available framework points today. It measures framework strength. It isn’t a Buy/Hold/Sell view, a probability, a forecast or a grade, and you can see every criterion behind it.
Stock Research: what do we make of the evidence?
Stock Research is where the Wealth Catchers Research View lives. It brings together Entry Point Analysis, the Research View with the evidence behind it, a SWOT breakdown with the risk factors from the company’s latest 10-K, and a comparison with competitors.
Entry Point Analysis: where does the price sit?
Entry Point Analysis looks at valuation and technical context around putting new money to work. It compares the price with its 100, 200, 253 and 400-period moving averages on the daily and weekly charts, and shows the drawdown from the 52-week high. Readings such as Potential Entry Zone, At Key Level and Extended describe where the price sits against those levels. They’re analytical reference points, not price targets.
Long-term investing rewards time in the market, but price still matters. Entry Point Analysis helps investors understand valuation and technical context when deploying new capital — it isn’t an attempt to predict the perfect bottom.
The Wealth Catchers Research View
A Research View is our interpretation of the available evidence for a company, as of a specific date. It uses three classifications, and each describes what we see in the research, not what any reader should do.
- BUY
Wealth Catchers’ research framework currently presents a favorable overall risk/reward based on the available valuation, fundamental, technical and market evidence.
- HOLD
The evidence is mixed or balanced enough that Wealth Catchers does not currently have a sufficiently favorable or unfavorable research view to classify the security as Buy or Sell. It’s a research classification, not a suggestion to keep a stock you own.
- SELL
Wealth Catchers’ research framework currently presents an unfavorable overall risk/reward based on the available evidence.
Rules-Based and Founder Research Views
A Rules-Based Research View is the current output of our published rules-based research framework. It weighs four areas of evidence (valuation, fundamentals, price trend and analyst sentiment) and shows you how each one reads, so you can see what’s driving the classification. It’s formed from current data and dated the day it’s formed.
A Founder Research View is a research opinion that Timothy Monecla has explicitly approved and signed, with the date it was formed. When one exists, it appears first, and the current Rules-Based Research View appears with it as supporting evidence. The two can differ, because a founder view reflects judgment the rules can’t capture. Earlier founder views stay on record.
Dates and reviews
Every Research View shows the date it was formed. A founder view is marked Due for Review once it’s more than 90 days old, once the company has filed newer quarterly results, or when a material event (a major guidance change, an acquisition, a significant regulatory development or a change in capital structure) calls it into question. A view that’s due for review is never quietly rewritten or swapped for the rules-based view. It stays visible, clearly marked, until Timothy reviews it, and the current rules-based view is shown alongside it.
What counts as evidence
- Fundamentals
- Revenue growth, margins, free cash flow and debt. Is the business getting stronger, and can it fund itself?
- Valuation
- What the market charges for those earnings, weighed against how fast they’re growing.
- Technical analysis
- Where the price sits relative to its moving averages and its 52-week range. Trend matters, but it’s one input, not the thesis.
- Analyst sentiment
- Wall Street’s consensus rating and price targets, used as context. We don’t adopt them as our view.
- Risks
- What could break the case: leverage, shrinking sales, a rich multiple, short interest, or risk factors the company lists in its own 10-K.
Why the Score and the Research View can differ
The Stock Score and the Research View answer different questions. A company can meet only 42% of the framework points, perhaps because this year’s growth and cash-flow criteria aren’t met, while its valuation, price trend and analyst support still add up to a favorable Research View. The reverse happens too: a high-quality business can score well on the framework while trading at a price that leaves the overall risk/reward unfavorable. The score is one piece of evidence that informs the view. It doesn’t dictate it.
How AI is used
AI may assist with research organization, calculations, drafting and quality checks. Wealth Catchers’ published research views are governed by our research framework, and founder-signed views require Timothy Monecla’s approval.
Your decision stays yours
Wealth Catchers Research Views are general, impersonal market research based on our published framework. They are not personalized investment advice, and your investment decisions remain your own. Data can be delayed or wrong, and every view reflects the information available on its date. More in our full disclaimer.