Peter Lynch Strategy Upgrades Three Financial Stocks Today

Peter Lynch's P/E/Growth Investor model shows notable upgrades for ChoiceOne Financial, Corebridge Financial, and Merchants Bancorp. All three stocks display improved ratings based on earnings growth and valuations, signaling potential positive movement in stock prices.

Date: 12-04-2025

AI Rating: 7

**Stock Ratings and Performance Insights**
Today's report indicates positive ratings upgrades for three financial institutions based on Peter Lynch's investment strategy, focusing on reasonable valuations in relation to earnings growth.

**ChoiceOne Financial Services Inc (COFS)** is noted with an increased rating from 72% to 74%, suggesting an improved perception of its underlying fundamentals and valuation. The company shows a strong earnings per share (EPS) performance, which is a crucial metric for investors as it reflects profitability on a per-share basis. A scoring improvement indicates increasing investor confidence, potentially leading to higher stock prices in the short term.

**Corebridge Financial Inc (CRBG)** also witnessed a rating jump from 56% to 74%, emphasizing better fundamentals and stock valuation. Most importantly, the company has passed tests in EPS growth rate, suggesting a positive trajectory in earnings. However, Corebridge has failures in return on assets (ROA) and the equity/assets ratio, raising caution among investors regarding efficiency and leverage concerns. Overall, the improvement in rating can positively impact the stock prices.

**Merchants Bancorp (MBIN)** similarly grew its rating from 72% to 74%. With a passing yield-adjusted PEG ratio and strong sales numbers, this small-cap bank holding company appears to enhance its attractiveness. The strong performance on the return on assets is a positive aspect, but the failure regarding yield productivity compared to the S&P 500 could limit immediate investor interest.

In conclusion, the increased ratings for all three firms, particularly highlighting EPS growth for Corebridge and solid fundamentals for ChoiceOne and Merchants, provide a positive outlook for these stocks in the near term. However, some caution should be taken regarding Corebridge's financial metrics, which could pose risk to their stock performance if not addressed.

Stocks: COFS CRBG MBIN