Accounting#33tier 1live in production
cash operating profitability
cadence: Dailydata: mediumlong onlyshort onlylong short
Mechanism
Distinct from QMJ's "profitability" leg: cash-based operating profit (operating income + depreciation − ΔAR − ΔInventory + ΔAP) / book equity is a stronger single-name predictor than Novy-Marx's gross profitability or GAAP operating
Data dependencies
daily_pricesAdjusted-close OHLCV for every US-listed ticker; primary price feed.
fundamentalsQuarterly fundamentals (income, balance, cash-flow) from FMP + SEC.
Expected edge
See referenced paper for original effect size; modern out-of-sample replication may be weaker.
Illustrative pattern only
NOT a backtestIllustrative pattern only — see /app for live backtests and the actual current equity curve.
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