The Twin Momentum strategy looks at combining traditional price momentum with improving fundamentals to generate market outperformance. The strategy uses seven fundamental variables (earnings, return on equity, return on assets, accrual operating profitability to equity, cash operating profitability to assets, gross profit to assets and net payout ratio) that are combined into a single fundamental momentum measure. The strategy is based on the research paper “Twin Momentum” by Dashan Huang and looks for stocks that are in the top 20% of the universe using both price and fundamental momentum.
Here are the top twin momentum stocks for August of 2024.
Further Research
