Breaking Things Down - How Many Companies Pass Each Check

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The Buffett Score is only a couple of months old, but we’ve seen a recurring theme in the questions asked about how it works. In a series of upcoming blog posts we’ll break down those questions.

Today, we’re starting with a breakdown of the Buffett Score. A common query is “how many stocks pass this checklist?” It’s definitely a valid query. There are nine checks - or criteria - we consider for the Buffett Score. Some are easy to pass, some not so much.

Roughly the same percentages pass or fail each month so if you’re reading this a few months from now, there may have been a 1 or 2 point swing, but it’s likely still accurate. If things change drastically, it will be updated.

That said, all of the data provided is from the November 2021 run of the Buffett Score.

Total Stocks Analyzed: 6,011

Stocks not scored (insufficient data): 211

Score Percentage That Pass
Consistent Earnings 39.7%
Debt Coverage 21.4%
High ROE 20.0%
High ROIC 23.6%
Positive FCF 53.5%
Share Reduction 21.0%
IRR > Treasury 45.2%
Expected RoR > 12% 37.4%
CFOA (moat score) 21.4%

As you can see, there’s a good mix in there. Only ~2% of the companies we analyze (the 6,011 noted above) have what it takes to pass every checklist item on the Buffett Score.

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