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  • These 3 High-ROE Stocks Are More Profitable Than Their Peers
    Tue, Aug. 26 CTCM, MA, MMM Comment!

    Summary

    • Fundamental analysis is all about figuring out a company's value; Technical analysis, on the other hand, is all about the market and where it's going.
    • ROE is a profitability measurement that expresses a company's profits as a percentage of shareholder equity.
    • We screened for high ROE stocks that also have a return on assets greater than the industry average and a return on investment greater than the industry average.
    • We narrowed down our group to stocks that are more profitable than their peers on a TTM basis.
  • Hedge Funds Are Buying These 9 Stocks Near 52-Week Highs
    Tue, Aug. 26 ABR, BRCM, FCS Comment!

    Summary

    • The S&P 500 (SPX) ended has reached yet another high, last Thursday marking the 28th record close set this year.
    • Some still doubt the sustainability of the bull market, which is currently in its fifth year, while others believe there are still more highs in store.
    • We screened for stocks with significant net purchases by institutional investors in the current quarter.
  • Japanese Stocks With Low P/FCF Ratios Win Big With A Tax Cut
    Tue, Aug. 5 NSANY, NTT, SNE 1 Comment

    Summary

    • Japan's failure to realize the goals of its economic reform plan could dampen future expectations, and it has raised concerns over the country's finances.
    • The IMF expects Japan's growth to slow to 1.1% in 2015 as the country enacts Abe's third arrow initiatives and grapples with a shrinking workforce.
    • Abe's policies, the IMF notes, have potential to help the economy in the long term, but short-term success is less certain.
  • 7 Stocks With High Sales Growth To Watch After Yesterday's GDP Data
    Thu, Jul. 31 AFOP, ANIK, GILD 1 Comment

    Summary

    • The US economy rebounded with a better-than-expected 4% annualized growth rate in the second quarter.
    • A 2.5% jump in consumer spending along with a 5.5% increase in business investment and a 9.5% surge in exports helped drive the economy to its best performance since 2013.
    • We screened for stocks with revenue growth higher than inventory, high sales growth and undervalued PEG that will benefit from this news.
  • 6 Consumer Discretionary Stocks With Encouraging Return On Equity
    Wed, Jul. 30 CMCSA, DIS, HOG Comment!

    Summary

    • The Conference Board's Index of Consumer Confidence reached a 7-year high in July.
    • Discretionary goods will benefit most from higher levels of consumer confidence.
    • We screened for standout companies in this sector using encouraging ROE trends and DuPont breakdowns.
  • 2 Undervalued Companies With Consistent Upside Earnings Surprises
    Tue, Jul. 29 ITG, LRCX 1 Comment

    Summary

    • Due to a positive earnings environment, this earnings season many stocks have beaten estimates.
    • Of the 900 companies reporting earnings this week, 126 have a history of positive earnings surprises.
    • Of those companies, 19 are undervalued with a PEG ratio below 1, and 7 have outperformed the market this month.
    • Of those 7 firms, 2 have had upward revisions of their EPS estimates within the last 30 days, suggesting that analysts are more optimistic about the stocks’ performances.
  • 4 Undervalued Stocks Under $5 With Ratings Of 'Strong Buy'
    Tue, Jul. 29 PAR, RSYS, TGE Comment!

    Summary

    • Corporate mergers announced this week may signal another leg of the bull market.
    • We screened for companies that have strong analyst recommendations and good levered free cash flow to enterprise value ratios to find companies that would follow the trend.
    • We found 4 stocks in various sectors that may be undervalued.
  • Will These Discount Retail Stocks Benefit From Americans' Summer Cost Cutting?
    Thu, Jul. 24 COST, DG, DLTR Comment!

    Summary

    • A new Gallup poll reveals Americans are watching their spending habits.
    • Slow growth in consumer spending coupled with the poll results suggest that several Americans remain particularly budget-conscious these days.
    • Rising earnings per share in discount retailers may signal growth in that sector.
  • These Rallying Entertainment Stocks Are Gearing Up For Comic-Con
    Thu, Jul. 24 CMCSA, LGF, MSFT 2 Comments

    Summary

    • Comic-Con International kicks off in San Diego today.
    • In total, over 130,000 people are expected to attend this year's Comic-Con; however, the convention's reach extends well past the crowd descending upon San Diego.
    • An enthusiastic response from the Comic-Con crowd could send momentum entertainment stocks up even more.
  • Analysts Raised Their Earnings Estimates For These Undervalued Stocks
    Wed, Jul. 23 BZH, KBH Comment!

    Summary

    • Positive earnings surprises can drive up share prices significantly.
    • One indicator that shares may be undervalued relative to earnings is an EPS/Price mismatch.
    • Another indicator that shares may be undervalued is significant short covering.
  • These Clothing Stocks Are Clearing Inventory As Jean Makers Struggle
    Wed, Jul. 23 GES, HBI, JOEZ Comment!

    Summary

    • Shifting fashion tastes have led women to chose leggings (and jeggings) over jeans and have pushed men towards chinos.
    • Three major clothing companies have reported a drop in American jeans revenue this month: Guess Jeans, Levi Strauss, and VF Corp, which manufactures Lee and Wrangler jeans.
    • But not every jean maker was affected by waning interest in jeans: Premium denim company Joe's Jeans reported a 56% increase in second-quarter revenue, raking in $48.2 million.
    • To find other potential winners in this sector we screened for encouraging inventory trends.
  • 8 Financial Sector Stocks That May Follow The Upside Trend
    Tue, Jul. 22 AFSI, AGII, AIG Comment!

    Summary

    • Financial stocks have beaten earnings estimates for a variety of reasons this quarter.
    • To develop this trend we screened for financial stocks with four straight quarters of positive, estimate-beating earnings reports, with an average surprise of at least 5%.
    • We further screened for stocks that are undervalued with a price/earnings to growth (PEG) ratio below 1.
  • 2 Stocks To Benefit From Rising Rates And Volatility
    Sat, Jul. 19 AGM, LACO 1 Comment

    Summary

    • Richard Fisher thinks the Fed needs to let go of its accommodative monetary policy because the low interest rates and abundant cash are giving investors "beer goggles."
    • Valuation concerns, particularly in social media and biotech, remain an issue for many, and a number of investors also expect volatility to rise over the next six months.
    • Potentially undervalued Lakes Entertainment and Federal Agricultural Mortgage have a lot of cash on hand and tend to rise with the VIX.
  • Funds Are Buying These 5 Rallying Stocks Under $5
    Fri, Jul. 18 APP, PGNX, PSDV 5 Comments

    Summary

    • The Russell 2000 split with the Dow Jones last Tuesday, losing more than 1% while the Dow edged up on favorable news from the financial sector.
    • Janet Yellen announced her concern about valuations amongst smaller internet and biotechnology firms that threw a pall on those popular small-cap stocks.
    • Stocks with positive insider buying trends may be undervalued relative to their peers in the sector.
  • 6 Big Banking Stocks Trading 25% Below Their Graham Number
    Thu, Jul. 17 JPM, GS, PNC 2 Comments

    Summary

    • Big banking stocks have rallied since Goldman Sachs reported earnings.
    • Banking stocks have underperformed so far this year.
    • Undervalued banking stocks may be ready for a bounce.
  • 6 Leisure And Entertainment Stocks With Encouraging Inventory Trends
    Wed, Jul. 16 GM, HAR, PEJ Comment!

    Summary

    • Sales of RVs are an undervalued metric for gauging the health of the economy.
    • When RV sales pick up, it's often seen as a strong indicator of growing household confidence.
    • Thor Industries, maker of recreational vehicles, had a pretty good year, returning 6% so far.
  • Rallying Chinese Stocks: How To Play China Bulls
    Wed, Jul. 16 AMAP 1 Comment

    Summary

    • The MSCI Hong Kong Index had consistently outperformed the MSCI China Index from July 2010 to January 2014, rallying 160% in the period.
    • Recently, however, investors have been trading their Hong Kong shares for Chinese ones.
    • To locate momentum Chinese stocks, we screened for significant net institutional purchases and stocks that are rallying above their 20-day, 50-day, and 200-day simple moving averages.
  • Rise In International Tourism Means Earnings Growth For These 5 Stocks
    Fri, Jul. 11 ASR, CHH, IILG Comment!

    Summary

    • The United Nations World Tourism Organization (UNWTO) expects 2014 to be another record-breaking year with 4-4.5% growth in international tourist arrivals.
    • The UNWTO foresees between 1.13 billion and 1.136 billion international arrivals taking place this year.
    • Looking forward, Fidelity states that the Hotels, Restaurants & Leisure industry’s average projected EPS growth between this year and the following year is 20.77%.
  • Dividend Stocks With No Debt, High Yields And Under $15
    Fri, Jul. 11 ATAI, CFFN, CPWR 33 Comments

    Summary

    • Investors want yields, and dividend stocks currently offer the best ones.
    • However, high yields aren't the only factors investors should take into consideration when selecting dividend stocks.
    • Debt/equity gives investors a picture of how much equity and debt a company is using to pay for its assets. It's calculated by dividing total liabilities by stockholders' equity.
  • Analysts Like These Undervalued Canadian Companies With A Green Reputation
    Thu, Jul. 10 BIN, LGF, MFC 1 Comment

    Summary

    • Canada's environmental policy has fallen to the wayside as Prime Minister Stephen Harper pushes to transform the country into a global energy superpower.
    • In 2006, Canada was ranked eighth on the Yale and Columbia University Environmental Performance Index, which ranks countries according to how they rate on environmental friendliness.
    • Environmentally-conscious Canadian companies may suffer from a hostile government environment.
  • Are The Short Sellers Right About These 8 Stocks?
    Thu, Jul. 10 ACXM, CATM, CAVM 2 Comments

    Summary

    • Daniel Yu is a crusading short seller who has earned the name "the Dark Knight."
    • Following his lead, we looked for overvalued stocks that are due for a correction.
    • We screened for stocks that have seen a spike in short selling in the last three months.
  • Dividend Watch: 3 Stocks With Upcoming Ex-Dividend Dates
    Thu, Jul. 10 BFS, CAT, CNSL 1 Comment

    Summary

    • Dividend stocks are offering payouts that federal bonds have yet to match or beat.
    • 423 of the stocks on the S&P 500 index pay dividends, a sixteen-year high.
    • Companies with high ROE are better-equipped to continue paying and increase their dividends than those with low ROE.
  • Insiders Are Buying Shares Of These 4 Stocks Under 10 Dollars
    Wed, Jul. 9 CMLS, LIOX, REN 6 Comments

    Summary

    • Insider buying is a carefully watched metric for investing in small-cap stocks.
    • Insider buying in medium- to large-cap companies doesn't tell you as much as for small-cap companies.
    • In small companies, employees have a better picture of possible stock performance.
  • 5 Rallying S&P 500 Stocks With Encouraging Accounts Receivable
    Wed, Jul. 9 BDX, CTSH, EOG Comment!

    Summary

    • Despite forward-and-back movements, the S&P 500 continues to hit new highs.
    • The most recent employment report suggests the economy is recovering.
    • But investors should be careful to avoid getting burned by a correction in stocks or premature hope for robust economic growth.
  • Funds Are Buying These 3 Stocks About To Report Earnings
    Tue, Jul. 8 AA, MSM, SYRG Comment!

    Summary

    • Second-quarter earnings season kicks off today.
    • Last Thursday's pre-Independence Day jobs report was better than expected, and economists predict rising wages will lift the economy further.
    • People are still concerned that stocks cannot move much higher without strong earnings to support them.
  • Oceaneering International Is Leading In The Earnings Space Race
    Tue, Jul. 8 OII 5 Comments

    Summary

    • Boeing’s new contract with NASA brings the Orion spacecraft closer to embarking on its maiden voyage.
    • Oceaneering International is making the space suits for the astronauts on Orion, and NASA has the option to extend the six-year contract for another five years.
    • Back on Earth, Oceaneering is gearing up to report its second-quarter earnings, which could possibly extend its four-quarter streak of positive earnings surprises.
  • Deal Or No Deal: 6 Outperforming Stocks Under $10
    Wed, Jul. 2 BRCD, EXK, GAIA 1 Comment

    Summary

    • Stock market volume is at its lowest point in 6 years.
    • The latest readings for GDP and consumer confidence were disappointing.
    • Stocks that are rallying in these conditions have a tendency to outperform.
  • Rising Global M&A Activity Makes Undervalued Media Stocks Takeover Targets
    Tue, Jul. 1 AHC, DWA, MSO Comment!

    Summary

    • 2014 has been a year of aggressive mergers and acquisitions.
    • Low interest rates, high cash levels and strong balance sheets have driven this trend.
    • Media and entertainment companies in this screen had the second largest number of mergers and acquisitions this year.
  • 4 Emerging Markets Stocks On Winning Streaks
    Tue, Jul. 1 ACTS, CO, EDN 1 Comment

    Summary

    • The MSCI Emerging Markets Index had its fifth consecutive monthly advance in June.
    • Lackluster GDP growth in the US and the belief that interest rates won't rise soon have boosted emerging markets.
    • World economic growth appears to be finally stabilizing, after the global financial shock of the Great Recession.
  • 3 Companies Poised To Benefit From The Switch To Solar
    Fri, Jun. 27 AEIS, AMSC, ENOC 1 Comment

    Summary

    • Within the next five years, 57% of global energy consumers would be interested in solar panel or connected-home solution installation as more people seek to lower their energy bills.
    • Seven percent of energy consumers worldwide are currently interested in solar panel installation options.
    • In addition to mounting consumer interest in solar solutions, domestic demand for a smart grid is growing because the aging U.S. electrical grid is increasingly limited in its capabilities.
  • Will Weak Consumer Spending Hurt These Profitable Consumer Goods Stocks?
    Fri, Jun. 27 BMS, DPS, ECL Comment!

    Summary

    • The Commerce Department released May consumer spending figures Thursday morning, and the report showed that spending grew 0.2% last month.
    • May's rise in spending was significantly lower than the 0.8% surge reported in March.
    • Profitable companies that have increased their net income via higher net profit margin and/or asset turnover are viewed favorably, as those are considered positive sources of growth.
    • However, if a company's profitability stems from an increase is leverage ratio, that's viewed negatively.
  • These Stocks With High ROE Lead Their Industries In Profitability
    Fri, Jun. 27 COH, CTCM, FFIV Comment!

    Summary

    • Analyzing present performance and comparing it to how a company did in the past is one way investors can gain a better picture of a company's trajectory.
    • ROE shows investors the amount of profit (expressed in a percentage) that a company has generated from shareholder investment.
    • When firms have higher margins than their industry averages, it indicates that they are operating more efficiently than their peers.