Jim Jubak's Watch List - Should You Own These Stocks?

In March, Jim Jubak of MSN Money released a list of stocks that he believed should be stocks that you should pay attention to in the upcoming months/quarters as potentially attractive investment opportunities. ValueExpectations.com set out to answer the question, which stocks on Jim’s watch list look attractive according to AFG’s valuation model and should be on your watch list?

Provided in the table below are Jubak’s watch list companies and how they fare from a valuation perspective using The Applied Finance Group’s Value Score variable which ranks the valuation attractiveness of each company based on the discrepancy between the company’s current trading price and AFG’s target price.

click to enlarge

Valuation Model – Using AFG’s modified discounted cash flow model to measure the intrinsic value of a firm compared to its peers.

AFG's Value Score - A score which represents the ranked percent to target (deviation between stock’s current trading price and AFG’s current default target price) or attractiveness (upside) relative to the universe. A Value Score of 100 is the most undervalued and 0 is the most overvalued company in the universe.

Comments

[kbear2:]

Meaningless.

May 11 03:19 AM

[brewer:]

All depends on your target price, which could be (and was in the recent past) way, WAY off.

And you talk about the score, enough to show it's all based on your meaningless target, but you do not show it.

Reads like a list of what you have invested and shorted.

May 11 10:06 AM

[Techtrader10:]

I agree with most of the authors fairly valued and unattractive selections, and since I don't follow all of the stocks listed, I will only comment on two of the stocks. I disagree with the rating on Coach (COH) as it has retraced at least 50% of it downside already and I don't see any reason for the sales of Coach to increase significantly in the near future based on the economy. The other is Apple (AAPL) which I feel is in the same place as Coach, and I agree with the authors assessment, based on its current price it is not attractive. Apple as with Coach, has retraced much of it price drop, as a result of not showing as much of a downside in revenue. Although Apple showed significant slowing in the companies base product their computers, they showed growth in sales from a far more fragile area of sales their iPod and iPhone . These items in general are purchased by a more fickle group of buyers than their computers which tend to stay with the same brand and operating system, and is subject to the whim of fashion and fad. This is never a position of strength.

I hope Mr. Jubak will continue to publish the list, and maybe even increase the frequency of the publication, as it is good to see another persons evaluation of these stocks.

May 11 10:14 AM

[Techtrader10:]

Which of these stocks do you follow? What are your price targets and which of the valuations do you agree or disagree with and why? For you to and the guy commenting immediately after you with "meaningless" is very disingenuous without some imput on your thoughts about the stocks.


On May 11 10:06 AM brewer wrote:

> All depends on your target price, which could be (and was in the
> recent past) way, WAY off.
>
> And you talk about the score, enough to show it's all based on your
> meaningless target, but you do not show it.
>
> Reads like a list of what you have invested and shorted.
>

May 11 10:39 AM

[reagan:]

Like you, Techtrader10, "meaningless". You Apple bashers are insignificant in the big picture.

May 11 11:00 AM

[Techtrader10:]

Your my favorite type of "investor", got a big underwater position reagan? Still own some stock at a $190-200 cost basis? Love to see you "emotional traders", makes it easy to take your money! By the way I love Apple, its a great day trading stock, as an investment its not so good anymore.


On May 11 11:00 AM reagan wrote:

> Like you, Techtrader10, "meaningless". You Apple bashers are insignificant
> in the big picture.

May 11 11:53 AM

[reagan:]

Techtrader10 is insignificant period. Go Apple! And I'm sure I own a whole helluva al ot more stock than you! Called dollar cost averaging & I've done beautifully w/it, putz!

May 11 12:48 PM

[Techtrader10:]

OK reagan, put your money where your slurring mouth is, how many of these cost averaging shares do you own?


On May 11 12:48 PM reagan wrote:

> Techtrader10 is insignificant period. Go Apple! And I'm sure I own
> a whole helluva al ot more stock than you! Called dollar cost averaging
> & I've done beautifully w/it, putz!

May 11 01:50 PM

[brewer:]

'whim of fashion and fad'? Good one! Where do you make this stuff up? BTW, he would have nearly had to buy at $190 to underwater...

You probably said the same thing about Apple 10 years ago, didn't you? How's your MSFT going?

May 11 02:42 PM

[Techtrader10:]

Hey brewer,

First, who is BTW? Second any person buying the stock over the current price is "under water". And to answer your last two questions, 10 years ago I day traded Micron Technology (at much higher prices at that time), and last: I haven't owned or shorted MSFT since 1992. Obviously you own or trade AAPL, what's your cost basis?


On May 11 02:42 PM brewer wrote:

> 'whim of fashion and fad'? Good one! Where do you make this stuff
> up? BTW, he would have nearly had to buy at $190 to underwater...
>
>
> You probably said the same thing about Apple 10 years ago, didn't
> you? How's your MSFT going?

May 11 03:15 PM

[Michael Del...:]

BTW = Buy the Weigh.

You can question the viability of a lot of stocks, but understand that if you mention anything negative about Apple, Starbucks or Ferrari, the tifosi will be out to get you.

May 11 06:28 PM