Stock market volatility has returned in full force in September 2021. In fact, the market hasn’t been kind to many high-quality stocks for the past few months. Today, we’re screening for stocks with Economic Moat Ratings of narrow or wide that have lost more than 20% in the three months ended Sept. 17. Eighteen of them look undervalued.
For today’s screen, we wanted to find stocks that were overvalued according to their P/E ratios yet were undervalued according to our metrics.
Specifically, we targeted stocks whose forward P/Es were more than twice that of the Morningstar U.S. Markets Index but whose star ratings were in the 4- and 5-star range. Thirteen stocks made the cut. These stocks might look like sell candidates given their P/Es, but we’d argue otherwise.
How are the index constituents chosen?
For starters, only securities whose dividends are qualified income are included; real estate investment trusts are tossed out.
Companies are then screened for quality using the Morningstar Economic Moat and fair value uncertainty ratings. Specifically, companies must earn a moat rating of narrow or wide and an uncertainty rating of low, medium, or high; companies with very high or extreme uncertainty ratings are excluded.
We then screen for financial health using our distance-to-default measure, which uses market information and accounting data to determine how likely a firm is to default on its liabilities.
The 75 highest-yielding stocks that pass the quality screen are included in the index, and constituents are weighted according to the total dividends paid by the company to investors.
Morningstar ha sido uno de los pocos gestores activos capaces de batir al indice.
Una diferencia con lo que hacemos por aqui es que no hace buy&hold.
Hola,
Tras un nuevo minicambio a peor por parte de M*, donde para ver máximo y mínimo anual hay que moverse de pestaña ¬¬, ya no se donde puedo acceder a los datos financieros de los últimos 10 años. Antes accedía desde “Key Ratios”, pero ya no está ahí. ¿Alguien sabe cómo acceder?
A mi me sale.
Aunque es cierto que hace un mes o así me sucedió lo mismo. Pero al volver a entrar otro día ya funcionaba con normalidad.
lo tienes como lo tenia yo hasta hace un par de días, como siempre vamos. Pues nada, a ver si me lo dejan como estaba, gracias por tu ayuda
A priori me huele a que han tocado donde no debían en las rutas privadas, pero a mi me sucedió el otro día y nunca estoy logueado, así que ni idea. Alguien perderá su puesto de trabajo.
anda que ahora viene en el pdf, pues vaya atraso porque toca descargar si o si. Gracias @ruindog
We have upgraded our economic moat ratings for Check Point Software Technologies CHKP, Fortinet FTNT, and Palo Alto Networks PANW to wide from narrow. For our moat trend ratings, we maintained Palo Alto at positive, adjusted Fortinet to positive from stable, and kept Check Point at stable.
It’s premature to call the FAANG market dead, but the year’s relative cooldown of the largest stocks does show the market is behaving in a fairly rational way, “even though meme stocks and crypto tell us there’s still a lot of irrational behavior going on.”
El morningstar rating que mide? Me llama la atención que tenga más checkpoint que Palo alto…
Para compañías con fair value uncertainty low, otorgan 5 estrellas con la cotización un 20% por debajo del fair value.
Para compañías con fair value uncertainty medium, otorgan 5 estrellas con la cotización un 30% por debajo del fair value.
Para compañías con fair value uncertainty high, otorgan 5 estrellas con la cotización un 40% por debajo del fair value.
Para compañías con fair value uncertainty very high, otorgan 5 estrellas con la cotización un 50% por debajo del fair value.
