Finding More Picks With EV/EBITDA Screen By Jonathan Heller About this article: Last week, I wrote about a very effective stock screen that identifies companies trading at relatively low ratios of enterprise value (EV) to earnings before interest, taxes, depreciation and amortization (EBITDA). I noted how the companies I identified using that screen one year ago have since beaten the pants off the major indices. Given that success, I decided to rerun the screen using the same parameters as last year: market cap greater than $250 million trading at less than 10 times EV to EBITDA, in their latest fiscal year, as well as on a trailing 12-month basis price-to-book ratio of less than one total debt-to-equity ratio of less than 50% Somewhat to my surprise, there are only two companies that make the list this year: Kindred Healthcare and Tesco. If you relax the price-to-book constraint, several others make the grade, but I'll stay true to the original criteria for now. Kindred... Or, call us at 1-866-321-TSCM (8726) Monday-Friday, 8 a.m.-6 p.m. ET. Outside the U.S. and in Canada, call 1-212-321-5200. More Stories From RealMoney Durable Goods Up Move Down the Tech Food Chain Jobless Claims Still High Bulls' Tenacity Is the Big Question Mark Should You Buy It? Pharmaceutical Product Development Bad News Trumps All Support for Banks Holds, For Now Bummer, Yields Are on the Rise Money on the Line Makes a Big Difference Structured Products: Unsafe at Any Price MORE STORIES FROM REALMONEY

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