Brainstorming Stock Ideas

The Stock Ideas page allows users to view a wide range of value screeners on a single page.

Background

GuruFocus’ Value Screeners, a popular Premium feature, apply teachings from value legends like Benjamin Graham, Peter Lynch and Berkshire Hathaway Inc. (BRK.A)(BRK.B) co-managers

According to the Model Portfolios page, several value strategies have outperformed the Standard & Poor’s 500 Index over the past 10 years. As such, users can find investing ideas using these value screeners.

Access

Users can access the Stock Ideas page by clicking the "Stock Ideas" item underneath the “Value Screens” column inside the “Screeners” section of the blue GuruFocus menu ribbon. Clicking directly on “Value Screens” also leads to the Stock Ideas page.

Figure 1 illustrates the Stock Ideas menu item, while Figure 2 illustrates a sample screen shot of the page.

Figure 1

Figure 2

As Figure 2 illustrates, each value screen contains a brief description of the value strategy applied. For example, the Ben Graham Net-Net screen applies Graham’s strategy of finding stocks trading close to net current asset value. Likewise, the Buffett-Munger Screener applies the Berkshire co-managers' four criteria approach to finding good companies at fair prices: understandable business, favorable growth prospects, shareholder-oriented management and attractive valuation.

Greenblatt and Peter Lynch screeners

Greenblatt’s Magic Formula Screen ranks stocks based on the Gotham Capital Management leader’s definition of earnings yield and return on capital. Stocks that have a high earnings yield and return on capital typically have a higher rank.

Several of the value screens apply Peter Lynch’s earnings line. The Fidelity Magellan Fund manager devised a simple rule in which one can compare the company’s price line to an earnings line set at 15 times earnings per share. GuruFocus’ Peter Lynch Growth Screen seeks stocks that trade below the earnings line, yet also have good business predictability and 10-year revenue growth.

The value screeners also include Peter Lynch’s Stalwarts Screen and a screener that looks for Peter Lynch stocks inside Buffett’s 13F equity portfolio.

Dividend screeners

The Stock Ideas page contains several value screeners focusing on dividends, including the high dividend yield screen, a dividend growth portfolio, a dividend income portfolio, high yield insider buys and upcoming special dividends.

Other screeners

Other screeners included on the Stock Ideas page include top stocks owned by hedge fund gurus, international guru holdings and CEO Buys.

Users can also access our All-in-One Screener if they have their own value investing idea. The All-in-One Screener also allows users to save and edit their own value screens and create customized filters.

If you have any questions about our services, please contact us or schedule a free session.