What is Novo Integrated Sciences Predictability Rank?
1 (5)
Warren Buffett said many times that the companies he likes are:
1. Simple businesses that he understands
2. that have predictable and proven earnings and
3. with economic moat
4. those can be bought at a reasonable price.
It is hard to quantify "simple businesses that he (Buffett) understands", so we will focus on the other three characteristics instead. In GuruFocus Research: What worked in the market from 1998-2008? Part I: Introduction of Predictability Rank, we will show that the businesses that have predictable and proven earnings are usually also simple businesses that an average person could understand.
GuruFocus conducted a back test study of Warren Buffett's strategy of "buying good companies at fair prices" for the years from 1998-2008.
Novo Integrated Sciences Predictability Rank Calculation
In our database there are 2403 stocks that have been traded from Jan. 2, 1998 to Aug. 31, 2008. We have the complete 10-year financial data and trading prices of these companies for this period. We rank the predictability of these companies based on the consistency of their revenue per share and EBITDA (earning before interest, tax, depreciation and amortization) per share over the past ten fiscal years, and study the correlation between the stock performances and the predictability of the business.
Our study may be subject to these biases and assumptions:
Dividend yields are not counted for investment returns
Effects of price changes due to spin-offs may not be fully adjusted
Study is subjected to survivorship bias due to de-listing, bankruptcy, LBO, M&A, etc.
The correlation between business predictability and investment returns of a company is showed below.
Correlation Between Business Predictability and Investment Returns
| Predictables | Non-Predictable | All stocks |
|---|
| Total Number of stocks | 570 | 1833 | 2403 |
| Total Lost Money | 61 | 830 | 891 |
| Total Lost More Than 50% | 18 | 412 | 430 |
| Total Lost More Than 90% | 4 | 86 | 90 |
| Average Gain | 260.6% | 100.0% | 138.1% |
| Median Gain | 150.0% | 13.0% | 39.0% |
| Maximum Gain | 2852.0% | 11483.0% | 11483.0% |
| Maximum Loss | -100.0% | -100.0% | -100.0% |
| Annualized Average Gain | 12.7% | 6.7% | 8.4% |
| Annualized Median Gain | 8.9% | 1.1% | 3.1% |
For the 570 predictable companies, we have seen strong correlation between the predictability of businesses and the stock performances over the past 10 years, regardless of the valuation of business at 1998. Accordingly, we have ranked the business predictability from 5-star to 1-star, as shown in this table.
| Predictability Rank | 5-Star | 4.5-Star | 4-Star | 3.5-Star | 3-Star | 2.5-Star | 2-Star | 1-Star (non-predictable) | Average among all |
|---|
| % Out of All 2403 Stocks |
3.3% |
2.9% |
3.7% |
3.3% |
3.3% |
3.7% |
3.3% |
76.3% |
100% |
| % that are in Loss (10y) |
3% |
10% |
8% |
9% |
11% |
18% |
16% |
45% |
37% |
| Average Gain (10y) |
364.6% |
330.9% |
278.0% |
235.1% |
243.5% |
227.8% |
154.8% |
100.0% |
138.1% |
| Median Gain (10y) |
238.5% |
193.5% |
171.0% |
159.0% |
132.5% |
113.5% |
87.0% |
13.0% |
39.0% |
| Maximum Gainer |
2228.0% |
2547.0% |
2452.0% |
2852.0% |
2432.0% |
1892.0% |
1807.0% |
11483.0% |
11483.0% |
| Maximum Loser |
-82.0% |
-53.0% |
-67.0% |
-100.0% |
-83.0% |
-100.0% |
-78.0% |
-100.0% |
-100.0% |
| Annualized Average Gain |
15.4% |
14.6% |
13.2% |
12.0% |
12.2% |
11.7% |
9.1% |
6.7% |
8.4% |
| Annualized Median Gain |
12.1% |
10.6% |
9.8% |
9.3% |
8.2% |
7.3% |
6.0% |
1.1% |
3.1% |
For detailed information about each predictability rank, please go to GuruFocus Research: What worked in the market from 1998-2008? Part I: Introduction of Predictability Rank
Also read:
Part II: What worked in the market from 1998-2008? Part II: Role of Valuations
Part III: Intrinsic Value, Discounted Cash Flow and Margin of Safety
Novo Integrated Sciences (Novo Integrated Sciences) Business Description
Traded in Other Exchanges
N/A
Address
11120 NE 2nd Street, Suite 100, Bellevue, WA, USA, 98004
Novo Integrated Sciences Inc is a medical care company. It provides specialized physiotherapy, chiropractic care, occupational therapy, eldercare, laser therapeutics, massage therapy, acupuncture, neurological functions, kinesiology, and others. It has two reportable segments: healthcare services which generates majority of the revenue, and product sales.
Executives
| Sarfaraz Ali |
director |
C/O NOVO INTEGRATED SCIENCES, INC.,, 11120 NE 2ND STREET, SUITE 100, BELLEVUE WA 98004 |
| Robert Letterio Oliva |
director |
115 BELFIELD RD, TORONTO A6 L0J 1C0 |
| Sterling M. Jimenez |
officer: Principal Financial Officer |
C/O NOVO INTEGRATED SCIENCES, INC.,, 11120 NE 2ND STREET, SUITE 100, BELLEVUE WA 98004 |
| Michael Ross Pope |
director |
1045 PROGRESS CIRCLE, LAWRENCEVILLE, GEORGIA GA 30043 |
| Alex Flesias |
director |
41 LANDMARK COURT, UNIONVILLE A6 L3R 9N7 |
| Michael Joseph Gaynor |
director |
49 BALMORAL ST, KEMPTVILLE A6 K0G 1J0 |
| Robert Mattacchione |
director, 10 percent owner, officer: Chief Executive Officer |
79 SELVAPIANO CRES, WOODBRIDGE A6 L4H 0X1 |
| Pierre Joseph Dalcourt |
director, 10 percent owner |
35 BRYANT ST , BOX 2230, HEARST A6 P0L 1N0 |
| Christopher Mehlin David |
director, officer: President |
10425 SE 22ND ST., BELLEVUE WA 98004 |
| Thomas Edward Bray |
officer: Principal Financial Officer |
C/O NOVO INTEGRATED SCIENCES, INC., 11120 NE 2ND STREET, SUITE 100, BELLEVUE WA 98004 |
| Rebecca Aw Mcdonald |
officer: Chief Accounting Officer |
1301 INTERNATIONAL SPEEDWAY BLVD., DELAND FL 32724 |
| James Jr Teters |
director |
1200 FLIGHTLINE BLVD, STE 5, DELAN FL 32724 |
| Phyllis Rouse |
officer: secretary |
1200 FLIGHLINE BLVD,, SUITE 5, DELAND FL 32724 |
| Jay Hilden |
officer: President & CEO |
1200 FLIGHLINE BLVD,, SUITE 5, DELAND FL 32724 |
| Robert Adamo |
director |
1200 FLIGHTLINE BOULEVARD, SUITE 5, DELAND FL 32724 |
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
NVOS has been successfully added to your