There is a good deal of concern these days about stalled revenue growth and implications for earnings, and possibly some dividends.
Consequently, it seems reasonable to pay special attention to stocks that have historical revenue growth equal to or greater than that of the S&P 500; and earnings and dividend growth equal to or greater than the S&P 500 or the market median; and that have a current yield greater than or equal to the S&P 500; and that have a PEG ratio less than or equal to that of the market median.
There are only 9 stocks that met the filter criteria we used. They are:
|COMPUTER PROGRAMS AND SYSTEMS||(CPSI)|
|WADDELL REED FINANCIAL CL A||(WDR)|
|CH ROBINSON WORLDWIDE||(CHRW)|
Here are the specific filter criteria and the hurdle values we used. For projected earnings growth rates we required a minimum of 5%:
click any of the following images to enlarge
The values for each stock for the filter criteria are:
Here are the ratings issued for these stocks by Standard and Poor's and by Wright Investor's Service (click here for explanation of ratings scales):
These key valuation metrics are from Yahoo Finance:
Here are 10 year charts for those stocks, showing the percent change of the price, revenue, earnings and dividends (source: YCharts.com):
Here are the percentage price rate of change data for 5-days (1 week), 21-days (1 month), 63-days (1 quarter) and 252-days (1 year):
This table shows several technical data points, as follows:
- Z-score (# of standard deviations of price from the 200-day moving average)
- Price ratio to the 200-day moving average
- 50-day average ratio to the 200-day average
- % by which price trails 1-year high price
- Position of the price within the 63-day price range
- 14-day RSI indicator
We have shaded those Z-scores greater than +/- 2 standard deviations to indicate that those stocks are at a distance from their moving average that is unusual (justified strong trend, or overextended above or below the average with strong reversion risk).
Here are the short term technical ratings from BarChart.com. "Short-Term" relates to an evaluation time frame in the vicinity of 20-days. "Medium-Term" relates to an evaluation time frame in the vicinity of 50 days. "Long-Term" relates to an evaluation time frame in the vicinity of 100-days.
The distance of the current prices from the "Street" estimates of 12-month price targets, and the number of analysts providing each rating from Strong Buy to Strong Sell are provided in this table:
Yahoo Finance provides summary business descriptions, company web address, as well as physical address and phone number for each company at this URL (just substitute the symbol [displayed in bold] in this URL for the company of interest to you):
Not all companies are likely to be of interest to you, but you may find this list an interesting point of departure for a more thorough examination of the stocks.
We currently own TUP. For our own specific purposes and situation, we find BLK most interesting among the other stocks in this list.
Disclosure: QVM has positions in TUP as of the creation date of this article (August 2, 2013). We certify that except as cited herein, this is our work product. We received no compensation or other inducement from any party to produce this article, and are not compensated by Seeking Alpha in any way relating to this article.
General Disclaimer: This article provides opinions and information, but does not contain recommendations or personal investment advice to any specific person for any particular purpose. Do your own research or obtain suitable personal advice. You are responsible for your own investment decisions. This article is presented subject to our full disclaimer found on the QVM site available here.