Who publishes ValuJack, how the estimates are made, what the scores mean, where the numbers come from, and what we hold.
ValuJack is published by DAFAB, based in Nässjö, Sweden. Cards are produced by Radek Majewski, founder and analyst.
ValuJack is not authorised or supervised by any financial regulator. It is not an investment firm, an investment adviser or a fund manager, and it does not hold client money or execute orders.
ValuJack screens listed companies against six published strategies and deals the highest-scoring results as cards. Every subscriber on a given day sees the same card.
It does not tell anyone to buy or sell anything. It does not know your circumstances, objectives, holdings or financial situation, and nothing it publishes is a personal recommendation. A card is a starting point for your own research, not a conclusion.
Every figure marked fair value on a card is ValuJack's own estimate, produced by a discounted cash flow model. It is not a price target, not a forecast of where the share price will go, and not a statement of what the company is worth.
Discounted cash flow is sensitive to its assumptions. Changing the discount rate or the growth blend by a percentage point or two moves the estimate materially — in some cases by a third or more. Treat the figure as one view under one set of assumptions, not a precise number.
The model also assumes reported earnings are representative. Where a company's recent profit is inflated by something that will not repeat, the estimate derived from it will be too high.
The rating on a card describes the gap between the current price and ValuJack's estimate. Nothing more. It is not a measure of how good the company is, and not a judgement of when to act.
| Rating | Gap to the estimate |
|---|---|
| Strongly undervalued | Price is 25% or more below the estimate |
| Undervalued | Price is 5% to 25% below |
| Fairly valued | Within 5% either way |
| Overvalued | Price is more than 5% above |
The estimates are built on multi-year cash flows, so they describe a multi-year view. They say nothing about the next week or the next quarter, and a rating is not a prediction that a gap will close on any particular timetable. It may never close.
Each card carries a chart of five criteria, chosen for the strategy that card belongs to. Every criterion is scored by ValuJack from its reported financials and plotted on rings numbered one to five, so the shape of the chart is the shape of the company: where it is strong, where it is thin, and how evenly the two are spread.
A star sits on the outer ring of each criterion. The number of filled stars is the ValuJack score shown above the chart, and the criteria that fill are the ones carrying that score. A four-star card has four filled and one open: the open one is what is holding the company back.
Read the fill as a ranking rather than a measurement. A filled star means that criterion is among the strongest for this company, not that it is strong in absolute terms. The exact level is the position of the shape against the numbered rings, which is shown separately and is not affected by the stars.
A score of 8.4 out of 10 implies a precision the underlying model does not have; move one assumption and it becomes 7.9. Five rings say strong honestly, which is all the score can support.
The figures behind these scores come from company financial reports, accessed through a third-party financial data provider that ValuJack licenses for its own analysis. A five-step reading carries the shape of a figure without republishing the figure itself.
Before a card is opened it shows one figure as a five-step filled circle rather than a number, on the same principle. Most of these read as more is better. One does not: payout ratio reports the share of earnings paid out as dividends, so a full circle means a company is paying out nearly all of what it earns, which may be generous or unsustainable.
Price, estimated fair value and estimated margin of safety are always shown as figures. They have no natural ceiling, so there is nothing for a circle to fill toward — and the difference between a 20% and a 47% margin of safety is exactly what a reader needs to see.
Every figure behind a score originates in the company's own published reports, which are public. Where a card links to a company's investor relations page, the underlying figures can be checked at source.
Prices, reported financials and dates are facts from the sources above. Fair value, margin of safety, star ratings and factor scores are ValuJack's estimates and opinions. Cards mark estimated figures as estimates wherever they appear.
Sources are chosen for reliability but are not guaranteed to be accurate or complete. Cards pass an automated check and a review against primary sources before publication. Errors are still possible, and where one is found the card is corrected or withdrawn.
Cards are dealt every trading day. Prices refresh through the day; the underlying estimates are refreshed on a rolling basis as companies report, and the pool is reviewed weekly. A card reflects the estimate as it stood when the card was produced.
Radek Majewski invests privately, including in companies that appear on ValuJack cards. That is disclosed rather than avoided.
Where a position is held in a company featured on a card, the card says so. Cards carrying no such line reflect no holding. Position sizes are not published; they are small and never approach a level requiring disclosure of size.
Holdings are also concentrated in defence and aerospace, a sector ValuJack's scoring currently rates highly. That is disclosed here because a card-by-card line would understate it.
ValuJack takes no payment from any company for coverage, and there are no sponsored cards.
ValuJack publishes impersonal investment research. It does not take account of your circumstances, objectives or financial situation and is not a personal recommendation. Estimated values are model outputs, not predictions. Share prices fall as well as rise, past results do not predict future ones, and you may lose money, including all of it.
If you are unsure whether an investment suits you, speak to someone qualified to advise you personally.
Every free card ValuJack has dealt is listed in the card history, with the date, the estimated fair value the card carried at the time, the rating, and whether the producer held a position. Nothing is removed from it. The full method is set out in the methodology.
PRO cards are recorded on the same terms and shown to subscribers in the app.