This week, we bring you the Stock Screen of the week from Validea. On Validea.com, you can screen for stocks using the site’s Guru Stock Screener, which scores stocks based on the fundamental stock selection criteria of legendary investors. The firm’s models are based on investing legends such as Warren Buffett, Peter Lynch, Benjamin Graham, Kenneth Fisher, Martin Zweig, David Dreman, Joel Greenblatt and others. The Advanced Guru Stock Screener allows users to create their own fundamental screens using a combination of the strategies of these investing greats and their own criteria.
This week’s screen looks for stocks that pass our Peter Lynch-based model and also have low valuations, solid long-term earnings growth, and an above average dividend yield. The criteria used and resulting companies are below.
- Pass our Lynch-based strategy with 90% or greater (you can read about Validea’s Lynch-based PE/Growth investor model here);
- Share price above $5 and market cap greater than $300M;
- Price-to-Sales ratio of less than 1.0;
- 5 Year Earnings Growth of at least 20%
- Dividend Yield of at least 3%.
Here are the seven stocks that currently make the cut. Interested in the Guru Stock Screener – try it out with a 7 day trial to Validea.