Guru Stock Screen of the Week: Top Rated Guru-Approved Financials

This week, we bring you the Stock Screen of the week from Validea. On, 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.

This week’s screen looks for the top scoring financial stocks that have strong price momentum and decent dividend yields. Many financials have underperformed over the last few years and given that many expect interest rates to rise going forward the sector could be a good place to look for some bargains.

  1. Screen for Stocks that pass at least 3 Guru models with Strong or Some Interest (at least an 80% score from three different guru models).
  2. Add the “Financial” sector filter to identify only those firms in financial-related businesses.
  3. Add $500 Million market cap filter to remove smaller companies.
  4. Add in a Relative Strength filter (at least 60) to identify those stocks that have produced above average price appreciation.
  5. Add in a Dividend Yield filter (2%) to identify firms that have a yield that at least meets the market average.

The screen above produced the following results and below is snapshot of the 4 passing companies.

guru screen 0421

To try out the Validea Guru Screener for yourself, click the link below.

Guru Stock Screener Button Blog

You can also watch this 1 minute video to see the Guru Stock Screener identify the four top scoring financials above.