Technical Methodology
The 100-Bagger Quant Lab utilizes a multi-factor structural analysis model to identify long-term compounding machines. Our approach blends classical fundamental theory with high-frequency quantitative filters.
1. The 100-Bagger Formula
"We model the terminal value (TV) of a security as a function of sustained return on equity (ROE) exceeding the weighted average cost of capital (WACC) over an extended horizon. Our algorithm isolates the 'Growth Decay' coefficient to project the probability of 100x appreciation within a 10-25 year window."
Finding a 100-bagger requires more than just high growth. It requires a rare combination of high capital efficiency, significant reinvestment opportunities, and a long runway. Our engine scans for companies with low initial market caps but exponentially scalable business models.
2. Compounding & ROE Threshold
"Empirical evidence from 50 years of global equity data suggests that a TTM Return on Equity (ROE) floor of 15% is the statistically significant threshold for high-velocity compounding. Our system employs a rolling 20-quarter ROE volatility filter to eliminate 'one-hit wonder' profitability spikes."
The magic of compounding only works when the 'engine' is efficient. If a company can generate 15-20% return on its shareholders' equity and reinvest a large portion of that profit back into the business at similar rates, the resulting mathematical curve becomes vertical over time.
3. Quantifying the Moat via ROIC
"Return on Invested Capital (ROIC) serves as the primary proxy for economic moats. By calculating the spread between ROIC and WACC, we derive a 'Moat Magnitude Score' (MMS). Businesses with an MMS > 5.0 are classified as structurally advantaged, possessing pricing power or cost leadership."
A high ROIC is the numerical signature of a competitive advantage (a 'Moat'). Whether it's brand loyalty, network effects, or switching costs, if it's real, it shows up in the ROIC. We strip out non-operating cash and debt to see the true yield of the core business operation.
API Reference
Integrate our real-time quant signals directly into your trading terminal or institutional dashboard. Our REST API and WebSocket streams provide institutional-grade latency and reliability.
Authentication & API Keys
All API requests must include your private API key in the header. You can generate and revoke keys from the Pro Dashboard.
X-API-KEY: sk_live_quant_xxxxxxxxxxxxxx
Content-Type: application/jsonReal-time Target Webhooks
Configure webhooks to receive instant notifications when our algorithm detects a high-conviction 100-bagger candidate. Payloads are delivered via POST request with a cryptographic signature for verification.
{
"event": "signal.generated",
"timestamp": 1714392456,
"data": {
"ticker": "ASML",
"signal": "STRONG_BUY",
"conviction_score": 94.2,
"metrics": { "roe": 28.5, "roic": 24.1 }
}
}GET /api/v1/targets
Retrieve the current list of institutional-grade targets identified by our system. Supports filtering by sector, market cap, and conviction score.
curl -X GET "https://api.100bagger.com/v1/targets?min_score=90" \
-H "X-API-KEY: your_api_key"