Sector-Relative P/E Leaders
The flagship Tessera screen. Every stock is compared not to the broad market, but to the median P/E of its own sector — because a 15× P/E in software and a 15× P/E in utilities are not comparable. Stocks that show a meaningful discount to their sector peers, after passing a quality filter, surface here.
This is the screen most useful to a long-term, fundamentals-driven investor. It answers the question that absolute P/E rankings cannot: which stocks are genuinely cheap relative to the businesses most similar to them?
Criteria
- Sector-relative P/E discount: P/E ratio at least 20% below the median for the stock's GICS sector
- Quality score: Tessera Rating ≥ 70 / 100 (factor-weighted across 24 inputs)
- Liquidity: Market cap above $1B for adequate trading depth
- Universe: All US-listed equities; rebalance every Monday
Underlying methodology
See the current top 10 stocks for this screen
Refreshed every Monday with end-of-week data. Free account — no credit card required.
Sign up freeFrequently asked questions
Why sector-relative P/E and not absolute P/E?
Sectors trade at structurally different multiples — utilities historically trade at ~15× P/E while software trades closer to ~35×. Absolute P/E rankings flag every utility as 'cheap' and every software stock as 'expensive,' which is not analytically useful. Sector-relative comparison normalizes for this and surfaces stocks that are genuinely cheap relative to peers in the same business.
How often does this screen update?
The full universe is rescreened every Monday with end-of-week data. Top picks can change week to week as prices move and new fundamentals are released.
Why filter by quality?
Cheap stocks can be cheap for a reason. The 24-factor quality filter excludes companies with deteriorating fundamentals, weak balance sheets, or quality red flags — so the discount you're seeing is more likely a market inefficiency than a value trap.