Why Valuentum Buying Index Ratings Matter
July 27, 2021
By Valuentum Editorial Staff Let’s take a look at the results of a case study of an institutional money manager’s application of the Valuentum Buying Index rating system. Please be sure to consult your personal financial advisor if any idea or strategy is right for you. The Best Ideas Newsletter portfolio and Dividend Growth Newsletter portfolio are not real money portfolios. Results are hypothetical and do not represent actual trading. Valuentum is an investment research publishing company. Past results are not a guarantee of future performance. Note: We’ve released a new, updated report since the publication of the following case study. To download a study on the evaluation of 20,000+ individual time series of Valuentum Buying Index ratings, please see here. Please be sure
Chinese Stocks Getting Hammered
July 26, 2021
Image shown: A confluence of factors are driving Chinese stocks lower, not the least of which is heightened regulatory concerns. By Brian Nelson, CFA The collapse in Chinese equities (FXI) (MCHI) during the trading session July 26 is a reminder (again) why you should consider combining momentum with *enterprise valuation* in stocks, as in the Valuentum process. It’s not enough for you to think a stock is undervalued or cheap. The market must agree with you, too. A falling stock price says the market disagrees. Our favorite ideas for consideration are always in the newsletter portfolios, whether the Best Ideas Newsletter portfolio, Dividend Growth Newsletter portfolio, or High Yield Dividend Newsletter portfolio. We do not have any direct exposure to
Best Ideas Newsletter Portfolio Soars!
July 24, 2021
Image shown: The top weighted ideas in the Best Ideas Newsletter portfolio continued to lead the charge during the trading session Friday, July 23. Facebook and Alphabet rallied on favorable reports from social media peers, while Vertex continues to recover thanks in part to encouraging views on CRISPR technology, while Visa looks to be back on track. DPZ had a strong trading session July 22 and experienced some profit taking. Image source: Seeking Alpha. By Brian Nelson, CFA Add options commentary to your membership >> During the trading session July 23, shares of top-weighted Facebook (FB) surged 5.3%, to close at $369.79. In December 2018, Facebook’s shares were trading hands in the mid-$120s, and the past few years have been
Shares of Best Idea Domino’s Pizza Jump Higher!
July 23, 2021
Image Shown: In the wake of Domino’s Pizza Inc’s stellar fiscal second quarter earnings report published on July 22, shares of DPZ surged higher. We include Domino’s Pizza as an idea in the Best Ideas Newsletter portfolio and continue to be huge fans of the name. By Callum Turcan On July 22, Domino’s Pizza Inc (DPZ) reported second quarter earnings for fiscal 2021 (period ended June 20, 2021) that smashed past consensus top- and bottom-line estimates with its US same-store sales growing by 3.5% and its international same-store sales increasing by 13.9%. The company noted that last fiscal quarter represented its 41st consecutive quarter of same-store sales growth in the US as its digital and delivery investments over the past decade
Dividend Increases/Decreases for the Week July 23
July 23, 2021
Below we provide a list of firms that raised their dividends during the week ending July 23. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week 1st Source (SRCE): now $0.31 per share quarterly dividend, was $0.30. Applied UV Inc – 10.50% PRF PERPETUAL – Ser A (AUVIP): now $0.2188 per share quarterly dividend. Aquesta Financial (AQFH): now $0.14 per share annual dividend, was $0.12. Bank of Marin Bancorp (BMRC): now $0.24 per share quarterly dividend, was $0.23. BCB Bancorp (BCBP): now $0.16 per share quarterly dividend, was $0.14. Bryn Mawr Bank
Johnson & Johnson Beats Estimates, Raises Guidance Once Again
July 22, 2021
Image Source: Johnson & Johnson – Second Quarter of 2021 IR Earnings Presentation By Callum Turcan On July 21, Johnson & Johnson (JNJ) reported second-quarter 2021 earnings that beat both consensus top- and bottom-line estimates. The company (once again) boosted its full-year guidance in conjunction with its latest earnings update as Johnson & Johnson’s business is steadily rebounding from the worst of the coronavirus (‘COVID-19’) pandemic, with an eye towards the ongoing recovery in the sales of its medical devices and related offerings. We include shares of JNJ as an idea in both the Best Ideas Newsletter and Dividend Growth Newsletter portfolios. Its latest earnings report and guidance boost reinforced our favorable view towards the name. Shares of JNJ yield
Best Idea Chipotle Rockets Higher!
July 22, 2021
Image Shown: We include Chipotle Mexican Grill Inc an as idea in the Best Ideas Newsletter portfolio. On July 21, shares of CMG surged higher after the firm reported a stellar earnings report after the market close on July 20. By Callum Turcan On July 20, Chipotle Mexican Grill Inc (CMG) reported second-quarter 2021 earnings that beat both consensus top- and bottom-line estimates. The company’s comparable store sales boomed higher by over 31% year-over-year as Chipotle’s customer base returned to its in-store dining offerings in the wake of coronavirus (‘COVID-19’) containment efforts getting eased across the US. Its digital sales were up almost 11% year-over-year and represented a little under half of its total revenues. Chipotle’s momentum is expected to
Netflix’s Free Cash Flow Remains Poor While Competition Is Intensifying
July 21, 2021
Image shown: Netflix continues to experience robust growth and improvements in its operating margin, but free cash flow remains weak. Image source: Netflix’s second-quarter earnings shareholder letter. By Brian Nelson, CFA We’re okay with watching Netflix (NFLX) from the sidelines. The company has been lumped in with other companies such as Facebook (FB), Apple (AAPL), and Alphabet (GOOG) (GOOGL) as a “FANG” stock, but the economics of Netflix’s business is quite different than this “peer” group, while the competition is considerably more intense. During the past 52 weeks, shares of Netflix are roughly flat compared to a market that is up over 30%, as measured by the SPDR S&P 500 Trust ETF (SPY). While Facebook, Apple and Alphabet continue to
Robotic-Assisted Surgery Idea Intuitive Surgical Rebounds Nicely in Second Quarter
July 21, 2021
Image shown: Intuitive Surgical benefits from a razor-razor blade business model and a large installed base. The more systems it places, the more instruments and accessories are sold. We expect clinical applications for robotic-assisted surgeries to continue to increase. Image source: Intuitive Surgical’s second-quarter earnings press release. By Brian Nelson, CFA On Tuesday, July 20, Intuitive Surgical (ISRG) reported excellent second-quarter results for the three months ended June 30, 2021, with revenue up 71.3% and non-GAAP earnings per share exceeding the consensus estimate by $0.86, to $3.92. The company is the pioneer in the robotic-assisted surgery field, and it continues to set the bar with respect to technologies for minimally invasive care. The company’s da Vinci Surgical System is
Bank Earnings Solid During Second Quarter 2021
July 19, 2021
Image Source: Bank of America Corporation – Second Quarter of 2021 IR Earnings Presentation In Alphabetical Order by Ticker: BAC, MS, JPM By Callum Turcan In this note, we cover three recent reports from the banking industry as earnings season gets underway. Ongoing coronavirus (‘COVID-19’) vaccine distribution efforts are enabling the domestic economy to reopen in earnest, and consumers are beginning to return to “pre-pandemic activities,” though the risk of variants remains. In our view, the outlook for the US economy is quite bright. The outlook for net interest margins (‘NIMs’) should improve alongside the domestic economy, though yields remain rather low as of this writing and lackluster NIMs weighed on the performance of the banking space at-large last quarter.
