It can be helpful to regularly take a glance at your stock holdings and watchlists to see if they still match up with your investment strategy or if there are better investment opportunities to consider. The new year is a good time to see how stocks and screens are interacting, especially considering the market changes that occurred in 2020. A+ Investor makes it easy to see which stocks you track in My Portfolio are passing any of the AAII stock screens as well as track those stocks in the overall universe that are passing more than one of AAII’s stock screens.
The My Stock Screens link on the dashboard of the Screening section of AAII.com is where you can see the latest passing company results for the AAII stock screens that you have favorited. It shows the A+ Stock Grades for the screening strategies you track, as well as for the individual companies currently passing those screens. You can also check the performance of your favorite screens over varying periods. The lists are refreshed daily.
If you aren’t following many screens or stocks, the Stocks Passing Multiple Screens tab will be helpful. It initially lists all of the stocks in the AAII database that pass at least two of the screens tracked by AAII. To narrow down or expand the list, you can change the minimum number of screens using the drop-down box at the top left of the tab.
As of January 7, 2021, 1,560 stocks passed at least one AAII stock screen, about 26% of AAII’s total stock universe. Passing at least two screens are 327 stocks. D.R. Horton Inc. (DHI) leads all 6,000+ stocks by passing eight AAII screens. The runner-up position is tied between five stocks that are each passing five screens.
D.R. Horton is a homebuilding company with operations in 29 states across the U.S., focused on building and selling single-family detached homes and attached homes, such as town homes, duplexes, triplexes and condominiums. The company has benefited from a U.S. housing market that has been resilient during the coronavirus pandemic, especially for affordable single-family homes. A third of D.R. Horton’s business is in homes for first-time buyers, which meets the demand from a younger generation that has put off home purchases since the 2009 recession.
The housing market’s strength is also expected to continue past the end of the pandemic and its economic impacts, due to favorable demographics and pent-up demand, according to Morningstar. D.R. Horton expects to deliver 77,000 to 80,000 homes in 2021, an 18% to 22% increase from 2020 home deliveries.
Looking at the D.R. Horton’s A+ Stock Grades, the stock has a Value Grade of B, a Growth Grade of B, an EPS Revisions Grade of B, a Quality Grade of B and a Momentum Grade of D. The stock’s relatively low momentum grade indicates that the stock may continue to underperform. However, its other grades indicate that the stock is cheap relative to its market sector while exhibiting strong short-term and long-term historical revenue and earnings growth, with a strong underlying business model reducing downside risk.
If you wish to add a stock on this list to an existing portfolio or a new portfolio, click on the yellow “+” to the left of the company name. The pop-up box will show if you have already added the stock to one of your portfolios. If not, you can choose a portfolio to add the stock to or create a new portfolio.
