CMG
Chipotle Posts Third-Quarter Results; Sees Significant Comp Declines in 2012
Chipotle (CMG) reported third-quarter revenue and earnings Thursday, following the strong performance of best-idea Buffalo Wild Wings (BWLD) yesterday. Whereas we think Buffalo Wild Wings is an excellent growth and valuation play, we think Chipotle’s stock price has gotten way ahead of its fundamentals. Though our put option contract on Chipotle that we hold in our best ideas portfolio may expire worthless, or not, in January (it’s a $300 strike), we maintain the firm remains significantly overvalued at 37 times next year’s earnings, and we are waiting patiently. We are sticking with our $213 fair value estimate (~$275 per share on the high end) on Chipotle and expect the company’s price to converge to our fair value over time. Chipotle’s … Read more
January 5-9: The Week That Was – Drowning in Crude
By Brian Nelson, CFA The first full week of 2015 was a wild one! Monday and Tuesday brought some hefty losses to the indices, but the middle of the week helped recover most of the ground, only to give some of it back Friday. When all was said and done, however, the S&P 500 still closed comfortably above 2040, a huge leap from just 5-6 years ago. We’re still enjoying the good times, with economic data still coming in relatively sanguine. Like a frog in water, the markets are just waiting for the next shoe to drop, and the Federal Reserve is doing all that it can to assure investors that the Yellen-put is there to prop up the markets should … Read more
US Congress Is Getting Ready to Pass a Massive ~$2.2 Trillion Fiscal Stimulus Bill
Image Shown: US equities have started to recover some of their lost ground as the likelihood that the US Congress will pass a massive ~$2.2 trillion fiscal stimulus and emergency spending package, dubbed the CARES Act, has increased significantly over the past week as seen through the bounce in the SPDR S&P 500 ETF Trust (SPY). President Trump has clearly indicated that he intends to sign such a bill into law as soon as possible, with the US House of Representatives expected to take up the legislation this upcoming Friday morning on March 27. By Callum Turcan On March 25, the US Senate worked late into the night to secure a bipartisan compromise on a massive ~$2.2 trillion fiscal stimulus … Read more
VBI Ratings Not as Impressive As We Would Have Liked in 2022
Image: How the VBI rating system has ranked equities so far this year. By Brian Nelson, CFA At Valuentum, we use the Valuentum Buying Index (VBI) to source ideas into diversified simulated newsletter portfolios, and the VBI may be most applicable to the simulated Best Ideas Newsletter portfolio, where we generally like to include ideas when they register a high VBI rating and remove them when they register a low VBI rating. We always use the VBI in a portfolio setting and never by itself. But what about the Valuentum Buying Index ratings, themselves? How did they “perform” during 2022 in one of the worst years for stock market investors in history? Well, not as spectacular as we would have … Read more
Update: Frequently Asked Questions About Valuentum Securities, Inc.
What is Valuentum Securities? Valuentum (val∙u∙n∙tum) [val-yoo-en-tuh-m] Securities Inc. is an independent investment research publisher, offering premium equity reports and dividend reports, as well as commentary across all sectors/companies, a Best Ideas Newsletter (spanning market caps, asset classes), a Dividend Growth Newsletter, modeling tools/products, and more. Independence and integrity remain our core, and we strive to be a champion of the investor. Valuentum is based in the Chicagoland area. Valuentum is not a money manager, broker, or financial advisor. Valuentum is a publisher of financial information. How do I subscribe to Valuentum’s investment research services? 1) Click the following link: signup-page. 2) Select your membership plan. 3) Enter your contact details. 4) Click ‘Sign Up.’ 5) Complete your purchase. 6) Your payment profile may be recurring, so please check … Read more
Surveying Valuentum Buying Index Performance in the Restaurant Space
The stock-selection methodology, the Valuentum Buying Index, is as simple as an efficacious stock-selection methodology can be. However, that doesn’t mean that the Valuentum Buying Index is simple. The Valuentum Buying Index considers the rigors of a discounted cash-flow process, the considerations of relative valuation techniques, and the transparency of pricing information via market indicators. Yet despite its straightforwardness, the Valuentum Buying Index casts a discerning eye on the equities it monitors. The Valuentum Buying Index does not make a ‘call’ on every company. It only views a 9 or a 10 on the measure to be actionable on the long side, and it only views a 1 or 2 on the measure to be actionable on the short side. … Read more