For this screen, I changed the moat rating back to Narrow or Greater – to increase results:
| Name | Ticker | Price | Fair Value | Margin of Safety | Yield % | MOS % |
| Gap Inc | GPS | $32.50 | $48.00 | $15.50 | 2.85 | 32.29% |
| American Express Co | AXP | $74.15 | $95.00 | $20.85 | 1.57 | 21.95% |
| Franklin Resources Inc | BEN | $39.35 | $50.00 | $10.65 | 1.52 | 21.30% |
| Waddell & Reed Financial, Inc. | WDR | $36.75 | $46.00 | $9.25 | 4.68 | 20.11% |
| ABB Ltd ADR | ABB | $18.69 | $23.00 | $4.31 | 0.93 | 18.74% |
| T. Rowe Price Group Inc | TROW | $69.15 | $85.00 | $15.85 | 3.00 | 18.65% |
| Oracle Corporation | ORCL | $36.21 | $44.00 | $7.79 | 1.67 | 17.70% |
| Eaton Vance Corp | EV | $33.27 | $40.00 | $6.73 | 3.01 | 16.83% |
| ACE Ltd | ACE | $99.83 | $116.00 | $16.17 | 2.69 | 13.94% |
| Cohen & Steers Inc | CNS | $28.40 | $33.00 | $4.60 | 3.55 | 13.94% |
| Alliant Energy Corp | LNT | $55.11 | $61.00 | $5.89 | 3.99 | 9.66% |
Five Asset Managers on the list? Might have to screen them out – I have no interest. The Gap seems cheap – but does anyone shop there anymore? Nothing is jumping out at me as a must have – sorry, no bargains yet.
Based on the following screen:
- 52 Week Low 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 6% (should be above what the 10 Year Treasury Bond is yielding).
- Financial Health Grade >= B.
- Forward P/E <= 15.
- 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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