1 — Moat · 30 pts
Will it still be winning in 10 years?
Pricing power: can it raise prices without losing customers?
High switching costs or network effects?
Hard and expensive for a competitor to replicate?
2 — Management · 20 pts
Would you trust them with your money?
Meaningful insider ownership (skin in the game)?
Rational capital allocation — no empire-building, buybacks below intrinsic value?
Clean accounting and honest communication?
3 — Financial Health · 25 pts
Can it survive a bad stretch?
Consistent free cash flow?
Debt manageable — interest covered several times over?
High returns on capital, year after year?
4 — Valuation · 25 pts
Are you paying a fair price?
Buying below your estimate of intrinsic value?
Margin of safety — room to be wrong?
Would you still buy if the stock did nothing for 3 years?
Instant fail: any one of these caps the stock at 49/100 — accounting manipulation, management integrity issues, structural industry decline, debt distress, excessive customer concentration.
The KEOWA Scorecard · For educational purposes only. Not investment advice.