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# The KPI Gauntlet: How the Scorecard Scores a Company, Pillar by Pillar
- URL: https://www.altamiraequity.com/evergreen-kpi-gauntlet-2026-11-11/
- Published: 2026-11-12T05:47:40.000Z
- Updated: 2026-11-12T05:47:40.000Z
- Description: All 515 scored companies run the same gauntlet: 31 metrics in six fundamental pillars — Quality 25%, Growth 20%, Value 20%, Shareholder Returns 15%, Health 10%, Moat 10% — blended 70/30 with a technical pillar into one total, four hard tiers, and a 13-criterion QC gate that is allowed to disagree.
- Author: Altamira Capital
- Tags: Research, #qc-review

Every company on this site — 515 scored names drawn from the S&P 500, the Nasdaq 100 and the Dow 30 — is run through the same gauntlet: **31 metrics, grouped into six fundamental pillars, blended with a technical pillar into a single total score out of 100.** This article explains exactly how that number is built, so any score on the site can be taken apart and checked.

## The shape of the score

![How the 100-point total is built: the six fundamental pillars carry 70% of the weight (Quality 25%, Growth 20%, Value 20%, Shareholder Returns 15%, Health 10%, Moat 10% of that composite) and the technical pillar the other 30%](https://www.altamiraequity.com/content/images/2026/11/evergreen-kpi-gauntlet-2026-11-11-weights.png)

How the 100-point total is built: the six fundamental pillars carry 70% of the weight (Quality 25%, Growth 20%, Value 20%, Shareholder Returns 15%, Health 10%, Moat 10% of that composite) and the technical pillar the other 30%. Source: Altamira KPI Scorecard methodology.

The total has two halves. The **fundamental composite** carries 70% of the weight and is built from six pillars. The **technical pillar** — what the share price itself has been doing — carries the remaining 30%.

Each metric is first scored on a linear 0–100 scale between a published floor and ceiling: a five-year average return on invested capital of 0% scores 0 and 30% scores 100, for example, with everything between interpolated. A pillar score is the weighted average of its metrics, and the fundamental composite is the weighted average of the six pillars. Nothing in the chain is a black box: every input, weight and threshold is listed in the scorecard's methodology, and the per-company pages show the underlying cells.

## The six pillars

![Metric weights inside the Quality, Value and Health pillars, as a percentage of each pillar](https://www.altamiraequity.com/content/images/2026/11/evergreen-kpi-gauntlet-2026-11-11-metrics.png)

Metric weights inside the Quality, Value and Health pillars, as a percentage of each pillar. Source: Altamira KPI Scorecard methodology.

**Quality (25% of the fundamental composite)** asks whether the business earns high returns on the capital entrusted to it — and whether the accounting profit is real cash. Its heaviest metric is five-year average ROIC (35% of the pillar), followed by five-year average return on capital employed (20%), gross margin (15%), net margin (15%) and cash conversion — operating cash flow against net income, averaged over five years (15%). A company can grow quickly and still fail here; quality is deliberately the largest single block in the model.

**Growth (20%)** measures compounding, not one good year. Revenue growth over five and three years, free-cash-flow growth over five and three years, free-cash-flow-per-share growth over both windows, and five-year diluted EPS growth — seven metrics, each scored against demanding ceilings (a 25% five-year revenue CAGR scores 100). Per-share measures sit alongside company-level ones so that growth bought by issuing shares does not score the same as growth that accrues to each share.

**Value (20%)** is a three-legged stool: free-cash-flow yield (35% of the pillar), forward price-to-earnings (35%), and margin of safety — the distance between the share price and fair value (30%). Any one leg can look extreme on its own; the pillar only rewards a name when cash yield, multiple and price-versus-value point the same way.

**Shareholder Returns (15%)** tracks what reaches the owner: dividend yield, payout ratio (scored in reverse — a lower, safer payout scores higher), dividend-per-share growth over five and three years, and buyback yield, the net repurchase rate after issuance. A company that returns cash while diluting it away does not get credit for the gross figure.

**Health (10%)** is the balance-sheet check: debt-to-equity (40% of the pillar), net debt to EBITDA (35%) and interest coverage (25%). It carries the smallest weight of the fundamental pillars, but it is a veto in disguise — the model's other screens refuse to advance names whose health pillar falls below a minimum, however exciting the growth.

**Moat (10%)** is a single heuristic score built from return-on-capital durability, gross-margin level and stability, pricing power, capital efficiency, reinvestment and recurring revenue. It is the most judgement-laden number in the model, which is exactly why it is capped at a tenth of the composite.

## From score to tier

The total sorts the universe into four tiers at hard cutoffs: **Tier 1 at 80 and above, Tier 2 at 70, Tier 3 at 60, Tier 4 below 60.** Hard lines have hard consequences — a name at 69.9 and a name at 70.1 are nearly identical businesses with different labels — which is why the site reports the score itself, the tier changes between editions, and the names sitting within a point of a boundary. Separately, a 13-criterion quality-compounder checklist (the QC gate) renders its own verdict — QUALIFIED, NEAR-QUALIFIER, NOT QUALIFIED or INCOMPLETE — and the two systems are allowed to disagree. When they do, that disagreement is usually the story.

*Sources: Altamira KPI Scorecard methodology (pillar weights, metric floors and ceilings, tier cutoffs and the QC gate definition), as published with each scorecard edition. Research for information only — not investment advice.*