Profitability, growth, safety, combined quality, history since 2003
product_id quality_factor_us · 4800+ stocks · daily refresh · since 2003-01-01 · 4 data columns · API/CSV
curl "https://www.kavout.com/api?product_id=quality_factor_us&api_key=YourAPIKey"
symbol / trade_date / field to filter · docs →GET · JSON · CSVInvestors have been seeking out high-quality companies for decades. The high-quality companies provide persistent profitability, low leverage and high return. Empirical evidences laud the merits of a Quality investment approach. What is agreed: higher profitability, more stable income and cash flows, and a lack of excessive leverage are the marks of quality companies.
Quality has demonstrated the ability to reward long-term investors. Similarly Quality tends to lag during low-quality rallies - or when the lowest-quality stocks lead the market in a rebound.
Data through 2026-10-26
Data through 2026-10-26
Quality factors are available for all the tradable stock equities on the US stock exchanges, including major securities markets such as NYSE, Nasdaq and Dow Jones Industrial.
| Sector | Count | Type | Start date |
|---|---|---|---|
| Finance | 1,126 | Equities | 2003-01-01 |
| Health Technology | 768 | Equities | 2003-01-01 |
| Technology Services | 391 | Equities | 2003-01-01 |
| Electronic Technology | 387 | Equities | 2003-01-01 |
| Producer Manufacturing | 303 | Equities | 2003-01-01 |
| Consumer Services | 280 | Equities | 2003-01-01 |
| Non-Energy Minerals | 237 | Equities | 2003-01-01 |
| Energy Minerals | 223 | Equities | 2003-01-01 |
| Commercial Services | 220 | Equities | 2003-01-01 |
| Industrial Services | 193 | Equities | 2003-01-01 |
Quality factors are calculated daily for thousands of stocks.
This data is available via API and CSV download.
We used the generally accepted assumption of high quality companies:
High quality companies are effective at generating profits. They have strong profit margins and generate a high return on equity (ROE). Often, this profitability is a result of a specific competitive advantage.
High quality companies demonstrate a track record of consistent business performance. They have stable revenues, profits, and cash flows, and they consistently demonstrate growth throughout the economic cycle.
High quality companies have financial strength. They have strong balance sheets and ample liquidity and as a result, are generally less vulnerable during economic downturns as they are able to withstand adverse conditions.
The quality factor considers three sub factor groups: profit, growth, and safety:
We applied the aforementioned quality metrics to a universe of the largest 500 US equities by market capitalization and ranked each stock on its overall quality. We then divided the universe into 10 quantiles of stocks, with the top quantile (Q_10) representing the highest quality stocks and the bottom quantile (Q_1) representing the lowest quality stocks.
For a long strategy, the top quantiles (Q_8 - Q_10) are the most useful, while for a short strategy, the bottom quantiles (Q_1-Q_3) are the most useful.