Two propane companies on the list this week – seems like a trend to me. I will not be touching anything at these elevated levels – will wait for a good down day to make a move.
Here are this weeks results:
| Name | Ticker | Price | Fair Value | Margin of Safety | Yield % | MOS % |
| Suburban Propane Partners LP | SPH | $28.90 | $39.00 | $10.10 | 11.7% | 26% |
| Wal-Mart Stores Inc | WMT | $58.50 | $75.00 | $16.50 | 3.3% | 22% |
| AmeriGas Partners LP | APU | $38.01 | $48.00 | $9.99 | 9.6% | 21% |
Based on the following screen:
- Morningstar analysis available.
- Less than 5% above its 52 week low.
- Greater than or equal to Narrow moat.
- Free cash flow/enterprise value greater than 5% (should be above what the 10 Year Treasury Bond is yielding).
- Financial Health Grade >= B.
- Forward P/E <= 20.
- Stock Industry not = Asset Management
- Dividend Yield % >= 2.5
- For candidates that have passed all the filters, review the individual stocks Return on Invested Capital (ROIC) for the previous 10 years to select the best long term candidates.
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