Screening of stocks for investing using Buffett and Munger parameters

I have stumbled across a filtered list of US stocks. For the filter, Twitter user (Value Stock Club) uses PE, PEG, P/B and Dividend Yield as criteria for his filter (based on his understanding of value investors such as Warren Buffett and Charlie Munger).

Note that this is the start of the qualification process.  There could be other value stocks that do not fit into this framework as we need to grade them differently by the industries that they are in.  However, this is a good "broad stroke" for us to research further from this filtered list.  Let us not forget to do our due diligence, to qualify the company in both their quantitative and qualitative qualities.

How did $AAPL and $MU get onto this list?

The following are definitions of the various ratios extracted from Investopedia.

PE ratio

The price-to-earnings ratio (P/E ratio) is the ratio for valuing a company that measures its current share price relative to its earnings per share (EPS).

PEG ratio

The price/earnings to growth ratio (PEG ratio) is a stock's price-to-earnings (P/E) ratio divided by the growth rate of its earnings for a specified time period.

PB Ratio

Companies use the price-to-book ratio (P/B ratio) to compare a firm's market capitalization to its book value. It's calculated by dividing the company's stock price per share by its book value per share (BVPS).

Dividend Yield %

The dividend yield is a financial ratio that tells you the percentage of a company's share price that it pays out in dividends each year.

 

From Twitter user Value Stock Club @itscharliemar

If you love the way Warren Buffett & Charlie Munger invest, well here is a list of filtered stocks that meet practically all their criteria. (Based on current approach.) Personally, my fav is $IMKTA which I shared before as a buy when it was at $80.75~. It's already up 24.98%.

List of fitered stocks that met the criteria of PE, PEG, P/B & dividend Yield

 

Use the above ratios as starting reference and not just concluding evidence.  the better our research, the more conviction we have for our investments.  This research will help us in deciding to buy, hold or sell should opportunities present themselves.

I do not think that a business can last forever and thus, we need to review their earnings regularly so that these companies can remained qualified for our portfolio.