Worst 1% Basket: 10 Key Oddsmaker Signals

Signal

Why It Matters

Extreme Examples

1. Overall Score

Master signal: valuation + quality + balance sheet + timing

MRAM -660, POET -647, WOLF -505, NVTS -461

2. Percentile

All top 10 rank in bottom ~0.0–0.3% of universe

MRAM/POET/WOLF at 0.0%

3. Super Multiple Predictor

Model flags multiple-compression risk

MRAM -795, POET -787, NVTS -601

4. EV/Sales Forward

Bubble valuation vs future revenue

POET 135.7x, NVTS 99.3x, RKLB 72.4x

5. EV/EBITDA Forward

No earnings support / negative EBITDA

RKLB -1,581x, NVTS -117x, FCEL -28x

6. FCF/EV Forward

Weak or negative cash yield

WOLF -11.1%, FCEL -10.1%, NVTS -0.9%

7. FCF Margin Forward

Revenue does not convert to cash

NVTS -111%, FCEL -57%, WOLF -53%

8. ROE / ROIC

Poor capital productivity

AGL ROE -110%, WOLF ROE -84%, SLNH ROE -82%

9. Stock-Based Comp % Revenue

Dilution hidden in operating model

POET 568%, NVTS 80%, SLNH 36%

10. Price vs 200D SMA / Timing Raw

Momentum extended vs fundamentals

RXT 4.9x 200D, AGL 3.9x, WOLF 3.1x

CIO Read

The story is clear:

The model is not just saying these stocks are “expensive.” It is saying they combine extreme valuation, weak cash economics, poor capital returns, high dilution, and stretched momentum.

That is the exact profile that tends to break when liquidity, sentiment, or earnings expectations turn.

NVDA Contrast

NVDA is different. Its model data shows a quality monster with valuation risk:

NVDA Signal

Model Data

Overall Score

+0.90

Percentile

17.6%

Growth Grade

A

Quality Grade

A+

Balance Sheet

A-

ROE

101%

ROIC

92%

Forward FCF Margin

85%

Forward EV/EBITDA

21.3x

Forward EV/Sales

14.6x

NVDA reports fiscal Q1 2027 earnings on May 20, 2026, at 2 p.m. PT / 5 p.m. ET. NVIDIA’s own investor site confirms the date and time.

Bottom line:
Worst 1% names = bad economics + inflated narratives.
NVDA = elite economics + high expectations.

Reply

Avatar

or to participate

Keep Reading