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Do you follow sell-side analyst recommendations? For a closer look at stocks rated "Buy" by analysts at UBS, we ran a screen.

Beginning with stocks currently rated "Buy" by analysts at UBS, we then screened for those with strong upward momentum, rallying above their 20-day, 50-day, and 200-day moving averages.

Then we screened for those that still appear undervalued relative to the Graham Number. The Graham Number is a measure of maximum fair value created by the "godfather of value investing" Benjamin Graham.

It is based off of a stock's EPS and book value per share (BVPS).

Graham Number = SQRT(22.5 x TTM EPS x MRQ BVPS)

The equation assumes that P/E should not be higher than 15 and P/BV should not be higher than 1.5. Stocks trading well below their Graham Number may be undervalued.

Interactive Chart: Press Play to compare changes in market cap over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.

We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.

Do you think these stocks will continue to rally? Use this list as a starting point for your own analysis.

List sorted by potential upside implied by the Graham Number.

1. Comerica Incorporated (CMA): Provides various financial products and services in Texas, Arizona, California, Florida, and Michigan, with select businesses operating in several other states, as well as in Canada and Mexico. Market cap at $6.4B, most recent closing price at $32.39. On 11/08/2011, UBS had a Buy rating on the stock. The stock is currently rallying 1.36% above its 20-day moving average, 2.77% above its 50-day MA, and 16.71% above its 200-day MA. Diluted TTM earnings per share at 2.19, and a MRQ book value per share value at 35.44, implies a Graham Number fair value = sqrt(22.5*2.19*35.44) = $41.79. Based on the stock's price at $31.6, this implies a potential upside of 32.24% from current levels.

2. State Street Corp. (STT): Provides various financial services and products to the institutional investors worldwide. Market cap at $22.71B, most recent closing price at $46.36. On 12/16/2011, UBS had a Buy rating on the stock. The stock is currently rallying 3.62% above its 20-day moving average, 6.57% above its 50-day MA, and 18.37% above its 200-day MA. Diluted TTM earnings per share at 3.79, and a MRQ book value per share value at 38.77, implies a Graham Number fair value = sqrt(22.5*3.79*38.77) = $57.50. Based on the stock's price at $45.12, this implies a potential upside of 27.44% from current levels.

3. TCF Financial Corporation (TCB): Operates as the bank holding company for TCF National Bank that provides various retail and commercial banking products and services in the United States and Canada. Market cap at $1.87B, most recent closing price at $11.56. On 11/08/2011, UBS had a Buy rating on the stock. The stock is currently rallying 1.58% above its 20-day moving average, 1.58% above its 50-day MA, and 7.33% above its 200-day MA. Diluted TTM earnings per share at 0.71, and a MRQ book value per share value at 11.82, implies a Graham Number fair value = sqrt(22.5*0.71*11.82) = $13.74. Based on the stock's price at $11.01, this implies a potential upside of 24.81% from current levels.

4. SunTrust Banks, Inc. (STI): Operates as the holding company for SunTrust Bank, which provides various financial services to consumer and corporate customers in the United States. Market cap at $13.17B, most recent closing price at $24.42. On 12/16/2011, UBS had a Buy rating on the stock. The stock is currently rallying 3.06% above its 20-day moving average, 4.32% above its 50-day MA, and 18.56% above its 200-day MA. Diluted TTM earnings per share at 0.94, and a MRQ book value per share value at 36.98, implies a Graham Number fair value = sqrt(22.5*0.94*36.98) = $27.97. Based on the stock's price at $22.6, this implies a potential upside of 23.75% from current levels.

5. Umpqua Holdings Corporation (UMPQ): Operates as the bank holding company for Umpqua Bank that provides commercial and retail banking services to corporate, institutional, and individual customers primarily in the areas of Oregon, northern California, and Washington. Market cap at $1.5B, most recent closing price at $13.45. On 11/08/2011, UBS had a Buy rating on the stock. The stock is currently rallying 0.61% above its 20-day moving average, 2.87% above its 50-day MA, and 15.34% above its 200-day MA. Diluted TTM earnings per share at 0.76, and a MRQ book value per share value at 15.08, implies a Graham Number fair value = sqrt(22.5*0.76*15.08) = $16.06. Based on the stock's price at $13.26, this implies a potential upside of 21.1% from current levels.

6. FirstMerit Corporation (FMER): Operates as the bank holding company for FirstMerit Bank, N. Market cap at $1.85B, most recent closing price at $16.98. On 11/08/2011, UBS had a Buy rating on the stock. The stock is currently rallying 2.25% above its 20-day moving average, 2.11% above its 50-day MA, and 16.86% above its 200-day MA. Diluted TTM earnings per share at 1.1, and a MRQ book value per share value at 14.33, implies a Graham Number fair value = sqrt(22.5*1.1*14.33) = $18.83. Based on the stock's price at $16.33, this implies a potential upside of 15.33% from current levels.

*BVPS and EPS data sourced from Yahoo! Finance, all other data sourced from Finviz.

Source: 6 Rallying UBS Stock Picks Undervalued By The Graham Number