The book touts a “value-oriented” approach that looks for bargain stocks whose share price is cheap relative to the company’s profitability. His version is a “magic formula” that ranks stocks on the basis of two variables—the earnings yield and the business’s return on capital.
The book has an associated website http://magicformulainvesting.com which (after you register) will let you rank stocks based on the criteria suggested in the book. Being earnings yield and return on captial. I have registered and the site looks to be an excellent free resource.