Every company on the TSX and TSXV gets a VETTR score between 0 and 100. Here's exactly what that number means and how we calculate it.
The Four Pillars
The score aggregates 25 signals across four equally-weighted pillars:
1. Financial Health (25%) Liquidity, solvency, and earnings quality signals. This includes current ratio, debt-to-equity, revenue quality (cash vs. accrual), and working capital trends. A company with strong revenue but deteriorating working capital gets marked down — that pattern precedes many financing crunches.
2. Governance (25%) Board structure, insider ownership, compensation alignment, and related-party transaction frequency. Companies where insiders own meaningful stakes and boards have genuine independence score higher. Governance is the hardest pillar to fake over time.
3. Market Dynamics (25%) Price momentum, volume patterns, short interest trends, and analyst coverage. This pillar captures market sentiment, but we weight it less than fundamentals — markets are sometimes right and sometimes very wrong.
4. Filing Integrity (25%) This is unique to VETTR. We analyze the text of MD&As, financial statements, and press releases using NLP to detect anomalies: language drift, disclosure omissions, auditor notes, and consistency between reported numbers and filed statements.
Score Bands
What the Score Doesn't Tell You
The VETTR score is not a stock rating. A Healthy company at 85 might be expensive; a Caution company at 45 might be cheap. We measure the quality and integrity of the company, not its valuation or your risk tolerance.
Always use the score as a starting point, not a conclusion. Drill into the red flags. Read the filing excerpts. The score tells you where to look — the decision is yours.