Valuation Ratio – Regiofora http://regiofora.com/ Thu, 21 Oct 2021 21:15:58 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://regiofora.com/wp-content/uploads/2021/07/icon-5-150x150.png Valuation Ratio – Regiofora http://regiofora.com/ 32 32 International Business Machines Corporation (NYSE: IBM) – Are IBM Stocks Overvalued or Undervalued? https://regiofora.com/international-business-machines-corporation-nyse-ibm-are-ibm-stocks-overvalued-or-undervalued/ https://regiofora.com/international-business-machines-corporation-nyse-ibm-are-ibm-stocks-overvalued-or-undervalued/#respond Thu, 21 Oct 2021 18:02:00 +0000 https://regiofora.com/international-business-machines-corporation-nyse-ibm-are-ibm-stocks-overvalued-or-undervalued/ IBM (NYSE: IBM) stocks lagged the S&P 500 in 2021, generating a cumulative total return of 16.8%. The action is hit hard during Thursday’s session after mixed quarterly results. IBM is struggling to adapt and modernize its business model to a cloud-centric, subscription-based business, but value-driven investors may wonder if there is value in IBM […]]]>

IBM (NYSE: IBM) stocks lagged the S&P 500 in 2021, generating a cumulative total return of 16.8%. The action is hit hard during Thursday’s session after mixed quarterly results.

IBM is struggling to adapt and modernize its business model to a cloud-centric, subscription-based business, but value-driven investors may wonder if there is value in IBM stocks at their current price.

Earnings: A price-to-earnings (PE) ratio is one of the most basic fundamental measures to assess the value of a stock. The lower the PE, the higher the value. For comparison, the S&P 500 PE is currently around 28.2, almost double its long-term average of 15.9.

IBM’s PE is currently 24.5, lower than the average for the S&P 500 as a whole. However, IBM’s PE ratio is up 77.7% over the past five years, suggesting that the stock is currently listed at the high end of its historic valuation range.

Related Link: Are Alibaba Stocks Overvalued Or Undervalued?

Growth: Looking ahead to the next four quarters, the S&P 500 futures PE ratio looks much more reasonable at just 20.3. IBM’s multiple of 12 of futures earnings is still well below the multiple of the S&P 500 as a whole, making IBM’s stock appear undervalued.

IBM’s futures PE ratio is less than half of its tech peers, which currently average a futures earnings multiple of 25.1.

However, when it comes to valuing a stock, profits aren’t everything.

Growth rate is also critical for businesses that build their bottom line quickly. The price / earnings / growth ratio (PEG) is a good way to incorporate growth rates into the valuation process. The overall PEG of the S&P 500 is currently around 0.9; IBM’s PEG is 1.48, which suggests that IBM is slightly overvalued after taking its growth into account.

The price-to-sales ratio is another important valuation metric, especially for unprofitable companies and growth stocks. The S&P 500’s SP ratio is currently 3.06, well above its long-term average of 1.62. IBM’s PS ratio is 1.7, significantly lower than the S&P 500 as a whole.

Finally, Wall Street analysts see the value of IBM shares over the next 12 months. The average analyst price target among the 14 analysts covering IBM is $ 149.50, which suggests an increase of about 15% from current levels.

The verdict: At its current price, IBM stock appears to be fairly priced based on a sample of common fundamental valuation metrics.

© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.


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4 Strong Bets That Offer High Returns – October 20, 2021 https://regiofora.com/4-strong-bets-that-offer-high-returns-october-20-2021/ https://regiofora.com/4-strong-bets-that-offer-high-returns-october-20-2021/#respond Wed, 20 Oct 2021 14:21:13 +0000 https://regiofora.com/4-strong-bets-that-offer-high-returns-october-20-2021/ Investors often use the P / E ratio and other valuation metrics to choose undervalued stocks with strong upside potential. We can also use another interesting ratio. Return on earnings, expressed as a percentage, is calculated as (annual earnings per share / market price) x 100. By comparing stocks, if other factors are similar, investors […]]]>

Investors often use the P / E ratio and other valuation metrics to choose undervalued stocks with strong upside potential. We can also use another interesting ratio. Return on earnings, expressed as a percentage, is calculated as (annual earnings per share / market price) x 100. By comparing stocks, if other factors are similar, investors may look for stocks with a higher return. This is because stocks with a higher return have the potential to provide comparatively higher returns.

Just like in the case of dividend yield, companies with higher earnings yields are considered undervalued, while those with lower earnings yields are considered overvalued. Profit return captures both the tangible and intangible return of a business as opposed to the dividend return, which only takes into account the tangible return.

It is important to note that the return on earnings can also be used to compare the performance of a market index with the yield of the 10-year Treasury. For example, when the return of the stock index is greater than the yield of the 10-year Treasury, stocks may be considered undervalued relative to bonds. In this situation, investing in the stock market would be a better option for a value investor.

Return on earnings: simply the reverse of P / E

Return on earnings is nothing more than the inverse of one of the most popular valuation metrics, which is the P / E (share price / earnings per share) ratio. Thus, a company with a P / E of 10.2 will logically have a profit return of 9.8% (100 / 10.2). In fact, since the concept of return on earnings is already indirectly factored into the P / E ratio, return on earnings as a measure of investment valuation is not as widely used as the P / E ratio.

That said, it should be noted that earnings yield is an important tool for investors exposed to both stocks and bonds. In this regard, earnings performance may be more illuminating than the traditional P / E ratio, as the former makes it easier to compare stocks to fixed income securities.

Screening parameters

We have set an earnings return above 10% as our primary selection criteria, but this alone cannot be used to select stocks that have the potential to generate strong returns. We have therefore added the following parameters to the screen:

Estimated EPS growth for the next 12 months greater than or equal to the S&P 500: This measure compares the estimated 12-month forward EPS with the actual 12-month EPS.

Average daily volume (20 days) greater than or equal to 100,000: A high volume of transactions implies that a stock has adequate liquidity.

Current price greater than or equal to $ 5.

Shares quoted for purchase: Stocks with a Zacks # 1 (strong buy) or 2 (buy) rank are known to outperform their peers in any type of market environment. You can see the full list of today’s Zacks # 1 Rank stocks here.

Our choices

Below, we’ve highlighted four of the 81 actions that crossed the screen.

Royal Dutch Shell (RDS.A Free Report): Based in the Netherlands, this integrated energy giant currently has a No.1 Zacks ranking and has an expected long-term EPS growth of 4%. The company became the largest LNG producer in the world with the takeover of BG. A strong liquidity profile, a strong generation of FCFs and the company’s investor-friendly measures are grounds for optimism. In the most recent quarterly report, Shell announced a $ 2 billion share buyback program, which reflects steadily improving earnings and cash flow. The company’s efforts to shift to a renewable energy future and achieve net zero emissions by 2050 are commendable. Zacks’ consensus estimate for 2021 sales and earnings implies year-over-year growth of 90.7% and 333.8%, respectively.

Difference (GPS Free Report): California-based Gap is one of the largest apparel companies in the United States, currently ranked Zacks Rank # 2. Gap’s flagship brand, Old Navy, remains an important long-term growth opportunity. The growing popularity of the Athleta brand, strong investments in digital marketing and an emphasis on product strategy have also yielded positive results. The company is on track with the execution of Power Plan 2023, aimed at optimizing the portfolio, expanding margins and improving cash flow. Gap’s strong financial position and its commitment to increasing shareholder value are other strengths. Zacks’ consensus estimate for FY2022 sales and earnings implies year-over-year growth of 29% and 204%, respectively.

United States Steel (X Free Report): Based in Pennsylvania, this steel producer currently holds a Zacks # 2 rank and has a VGM score of A. It enjoys strong end-market demand and higher domestic steel prices. The company is witnessing strong consumer demand and pent-up infrastructure demand. The investment in Big River Steel is also expected to increase US Steel’s earnings and generate significant synergies. Cost reduction initiatives and efforts to improve operational efficiency are expected to drive its results. Zacks’ consensus estimate for 2021 sales and earnings implies year-over-year growth of 102% and 381.8%, respectively.

Silicon motion technology (SIMO Free Report): This Taiwan-based semiconductor company is currently Zacks Rank 1 and has an expected long-term EPS growth of 8%. The company is riding a strong demand for solid-state disk controllers and eMMC and UFS controllers. The growing adoption of integrated memory controllers amid increasing smartphone sales is also a positive. The surge in PC sales triggered by online learning and the wave of work from home bodes well. New designs for PCIe Gen4 SSD controllers from NAND manufacturers also increase the prospects for Silicon Motion. Zacks’ consensus estimate for 2021 sales and earnings implies year-over-year growth of 68% and 83%, respectively.

You can get the rest of the stocks on this list by signing up now for a free 2-week trial of Research Wizard Stock Selection and Backtesting Software. You can also create your own strategies and test them before you make any investments.

The Research Assistant is a great place to start. It’s easy to use. Everything is in plain language. And it’s very intuitive. Start your research assistant trial today. And the next time you read an economic report, open the research assistant, plug in your findings, and see what gems come out of it.

Click here to sign up for a free trial of the Research Assistant today.

Disclosure: The officers, directors and / or employees of Zacks Investment Research may hold or have sold securities short and / or hold long and / or short positions in the options mentioned in this document. An affiliated investment advisory firm may own or have sold securities short and / or hold long and / or short positions in options mentioned in this document..

Disclosure: Information on the performance of Zacks portfolios and strategies is available at: https://www.zacks.com/performance


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Credit Financing: Credit Valuation Almost Doubled After $ 250 Million Funding https://regiofora.com/credit-financing-credit-valuation-almost-doubled-after-250-million-funding/ https://regiofora.com/credit-financing-credit-valuation-almost-doubled-after-250-million-funding/#respond Tue, 19 Oct 2021 08:43:00 +0000 https://regiofora.com/credit-financing-credit-valuation-almost-doubled-after-250-million-funding/ Bombay: Cred has raised $ 251 million in a Series E funding round co-led by Tiger Global and Falcon Edge for a valuation of $ 4.01 billion, underscoring the relentless interest Indian fintech is generating among investors. The fundraiser nearly doubled the valuation of the Bengaluru-based startup, which was $ 2.2 billion in April when […]]]>
Bombay: Cred has raised $ 251 million in a Series E funding round co-led by Tiger Global and Falcon Edge for a valuation of $ 4.01 billion, underscoring the relentless interest Indian fintech is generating among investors.

The fundraiser nearly doubled the valuation of the Bengaluru-based startup, which was $ 2.2 billion in April when the company raised $ 215 million. It was valued at $ 800 million less than a year ago, when it raised $ 80 million in November 2020. The latest round saw two new investors – Marshall Wace and Steadfast Venture Capital – join the table. capitalization of the fintech startup. Existing investors DST Global, Insight Partners, Coatue and Sofina also participated in the fundraising.

Media reports said the company plans to use the funds to expand its existing product line and expand financial service offerings for customers.

Diversified offers

Kunal Shah started Cred three years after selling Freecharge to Snapdeal for $ 400 million in 2015. Axis Bank later bought the fintech startup at a 90% discount. And what started out as a credit card reimbursement platform is now a diverse business that includes e-commerce, digital payments, wealth management, bank loans, and peer-to-peer lending.

  • The e-commerce platform, called Cred Store, charges partner companies a fee to direct its user base to their products. It also charges its banking partners a fee reduction to improve customer tax compliance.
  • The lending business, launched in association with IDFC First Bank in 2020, had a loan portfolio of Rs 2,000 crore as of August this year. Its ratio of non-performing assets, as a percentage of the loan portfolio, was then less than 1%.
  • Earlier this year, Cred launched Cred Mint, its P2P lending platform in partnership with non-bank P2P Liquiloans. Those who invest in the product earn interest of around 9%, while the loans will be disbursed at 12% -13%.

“About 25-30% of all credit card bill payments in India are made through the platform,” Shah told ET in an interview in August. “The business is doing well and we have over 2,000 brands. Our payments industry, which is young, is also growing by 60% month on month. ”

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The startup has more than 1,300 brands, including Samsung, Myntra and Curefit, as members. It has onboarded around 3 million customers in the past two years, according to data shared by the company.

FinTech on fire

At $ 4.6 billion, India’s fintech industry nearly quadrupled its fundraising in the first nine months of 2021 compared to the period a year earlier, a PwC report revealed on Monday. Fifty-three transactions were recorded in the third quarter alone. Companies operating in the fintech branches – insurtech, richtech, neobank, etc. – aroused the interest of investors.

Read also:
M2P Fintech’s valuation could double in a few weeks

Six fintech unicorns have been hit so far this year – Digit Insurance, Five Star Finance, Cred, Groww, Zeta, and BharatPe. At least four others – Paytm, MobiKwik, Policybazaar and Pine Labs – are looking to tap public markets in the near future.


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Vedanta stock price: Vedanta stock rises 6.01% in Monday’s trading session https://regiofora.com/vedanta-stock-price-vedanta-stock-rises-6-01-in-mondays-trading-session/ https://regiofora.com/vedanta-stock-price-vedanta-stock-rises-6-01-in-mondays-trading-session/#respond Mon, 18 Oct 2021 04:35:00 +0000 https://regiofora.com/vedanta-stock-price-vedanta-stock-rises-6-01-in-mondays-trading-session/ The shares of Ltd. rose 6.01 percent to Rs 351.9 in Monday trading at 10:05 am (IST) even as the benchmark Nifty reigned at 18,471.75, up 133.2 points. The script had closed at Rs 331.95 in the previous session. The stock traded a 52-week low at Rs 91.25 and a high of Rs 359.85. The […]]]>
The shares of Ltd. rose 6.01 percent to Rs 351.9 in Monday trading at 10:05 am (IST) even as the benchmark Nifty reigned at 18,471.75, up 133.2 points.

The script had closed at Rs 331.95 in the previous session. The stock traded a 52-week low at Rs 91.25 and a high of Rs 359.85. The company listed a market cap of Rs 131,477.25 crore on BSE.

On BSE, 819,040 stocks have changed hands on the counter so far. At its going price, the stock was trading at 8.9 times its 12-month EPS of Rs 39.76 per share and 1.37 times its book value. The return on equity (ROE) stood at Rs 18.62.




Key financial data

For the quarter ended June 30, 2021, Vedanta Ltd. reported consolidated sales of Rs 29,151.0 crore, up 71.5% from the same quarter a year ago. The company reported 308.91% year-on-year growth in net profit to Rs 4,224.0 crore for the last quarter.

Technical indicators

The stock’s relative strength index (RSI) stood at Monday. The RSI fluctuates between zero and 100. Traditionally, it is considered a condition of overbought when the value of the RSI is above 70 and oversold when it is below 30.

Analysts say the RSI indicator should not be viewed in isolation, as it may not be enough to take a trade call, in the same way that a fundamental analyst cannot give a ‘buy’ or sell recommendation. “sell” using a single valuation ratio.


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Could Moderna justify its valuation of $ 129 billion? https://regiofora.com/could-moderna-justify-its-valuation-of-129-billion/ https://regiofora.com/could-moderna-justify-its-valuation-of-129-billion/#respond Sat, 16 Oct 2021 10:33:00 +0000 https://regiofora.com/could-moderna-justify-its-valuation-of-129-billion/ Tor say that Moderna‘s (NASDAQ: mRNA) The COVID-19 vaccine has been a success would be a massive understatement, but there is no scenario where it alone justifies the company’s $ 129 billion valuation. In this fool live Video clip, recorded on October 4, Fool.com contributor Matt Frankel explains why Moderna’s real value may lie in […]]]>

Tor say that Moderna‘s (NASDAQ: mRNA) The COVID-19 vaccine has been a success would be a massive understatement, but there is no scenario where it alone justifies the company’s $ 129 billion valuation. In this fool live Video clip, recorded on October 4, Fool.com contributor Matt Frankel explains why Moderna’s real value may lie in its future product pipeline.

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Matt Frankel: Moderna currently has a market cap of $ 129 billion and is primarily a market product. Everyone knows Moderna because of the COVID vaccine. But Moderna and Pfizer basically use the same technology to make their COVID vaccines, and they’ve been wildly successful, to say the least. Moderna expects $ 20 billion in revenue this year – for a company with just one product, that’s pretty impressive.

They already have 500 million doses on order until the first quarter of next year. But to really justify this assessment, they’re going to need more than they currently have. By the way, this is the second most valuable biotech stock in the world. Obviously, there are other catalysts with their current product, the COVID vaccine.

Boosters are the most obvious right now. They just authorized Pfizer BioNTech boosters in some groups. This will probably happen for Moderna as well. Childhood vaccine authorizations, which will hopefully arrive later this year, and other advanced purchasing agreements. I know of some governments – Canada in particular has already offered to purchase pictures to be delivered until 2024. This will maintain revenues for a period of time.

The real potential value of Moderna is in the 37 different products they have in the pipeline, most of which use the same technology as the COVID vaccine, the significance is that it has proven that this messenger RNA technology can work in humans. They’ve got one that’s going into phase 3 trials. They’ve got 22 in clinical trials, of those 37, the rest are in development. Even if a few of them work and are successful, it might end up justifying the valuation of the business, but it’s still a big if at this point.

None of them will, I just want to say it for sure, but none of them are likely to be the high-income cash cow that the COVID vaccine is and generate $ 20 billion. of revenue per year for the company. I love Moderna, I love them a little more than you. I tend to believe in their pipeline’s promise, I guess, as a way to justify their review.

Matthew Frankel, CFP® has no position in any of the stocks mentioned. The Motley Fool recommends Moderna Inc. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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Is Target Corporation (TGT) stock trading below fair value? https://regiofora.com/is-target-corporation-tgt-stock-trading-below-fair-value/ https://regiofora.com/is-target-corporation-tgt-stock-trading-below-fair-value/#respond Fri, 15 Oct 2021 16:04:49 +0000 https://regiofora.com/is-target-corporation-tgt-stock-trading-below-fair-value/ Investors Observer gives Target Corporation (TGT) a strong evaluation score of 86 based on its analysis. The proprietary rating system takes into account the underlying health of a company by analyzing its stock price, earnings and rate of growth. TGT currently holds a better value than 86% of the shares based on these metrics. Long-term […]]]>

Investors Observer gives Target Corporation (TGT) a strong evaluation score of 86 based on its analysis. The proprietary rating system takes into account the underlying health of a company by analyzing its stock price, earnings and rate of growth. TGT currently holds a better value than 86% of the shares based on these metrics. Long-term buy and hold investors should find the most relevant valuation ranking system when making investment decisions.

TGT achieves an evaluation ranking of 86 today. Find out what this means to you and get the rest of the leaderboard on TGT!

Metrics analysis

TGT has a twelve-month price-to-earnings (PE) ratio of 19.3, which puts it around the historic average of around 15. TGT is currently trading at an average value due to investors paying around this. that the action is worth in relation to its profits. TGT’s 12-month earnings per share (EPS) of 12.56 justifies its market share price. The tracking PE ratios do not take into account the company’s projected growth rate. So some companies will have high PE ratios due to high growth recruiting more investors even though the underlying company has produced low profits so far. TGT currently has a 12-month forward PEG to Growth Ratio of 1.28. The market is currently overvaluing TGT relative to its projected growth due to the PEG ratio above fair market value of 1. TGT’s PEG is derived from its forward price / earnings ratio divided by its growth rate. Because PEG ratios include more fundamentals of a company’s overall health with an additional focus on the future, they are one of the valuation metrics most used by analysts.

Summary

Overall, these valuation metrics paint a pretty poor picture for TGT at its current price due to an overvalued PEG ratio despite strong growth. The PE and PEG for TGT are below market average, resulting in a valuation score of 86. Click here for the full Target Corporation (TGT) share report.


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REC stock price: REC stock up 3.75% as Nifty gains https://regiofora.com/rec-stock-price-rec-stock-up-3-75-as-nifty-gains/ https://regiofora.com/rec-stock-price-rec-stock-up-3-75-as-nifty-gains/#respond Thu, 14 Oct 2021 06:49:00 +0000 https://regiofora.com/rec-stock-price-rec-stock-up-3-75-as-nifty-gains/ NEW DELHI: the shares of Ltd. traded 3.75% in Thursday trading at 12:19 p.m. (IST). About 1,368,089 shares changed hands at the box office. The script opened at Rs 161.3 and hit an intraday high and low of Rs 166.0 and Rs 159.85, respectively, during the session so far. The shares of REC Ltd. quoted […]]]>
NEW DELHI: the shares of Ltd. traded 3.75% in Thursday trading at 12:19 p.m. (IST). About 1,368,089 shares changed hands at the box office.

The script opened at Rs 161.3 and hit an intraday high and low of Rs 166.0 and Rs 159.85, respectively, during the session so far. The shares of REC Ltd. quoted a 52 week high of Rs 167.75 and a 52 week low of Rs 91.9.

According to the BSE, the total market capitalization of REC Ltd. stood at Rs 32,408.4 crore at the time of writing.




Key financial data

The company reported consolidated net sales of Rs 9,639.98 crore for the quarter ended June 30, 2021, up 4.6% from Rs 9,215.76 crore in the previous quarter and 14.11% from the previous quarter. at Rs 8,448.08 crore for the quarter of the previous year.

Net profit for the last quarter stood at Rs 2,268.16 crore, up 22.92 percent from the same quarter a year ago.

Shareholding model

As of June 30, 2021, DIIs held 9.39% of the company’s capital, while foreign institutional investors held 26.15% and promoters 52.63%.

Valuation ratio

According to BSE data, the stock traded at a P / E multiple of 3.68 and a price to book ratio of 0.6. A higher P / E ratio shows that investors are willing to pay a higher price because of better expectations of future growth. Book value indicates the intrinsic value of a business and measures the price investors are willing to pay even when the business does not grow.

REC Ltd. belongs to the Term Loans – Energy sector.


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How to get growth cheaply https://regiofora.com/how-to-get-growth-cheaply/ https://regiofora.com/how-to-get-growth-cheaply/#respond Wed, 13 Oct 2021 01:15:37 +0000 https://regiofora.com/how-to-get-growth-cheaply/ [*][**] The stable post-pandemic recovery is starting to falter and threats to the portfolio are starting to emerge. Investors are now turning actively bearish and turning to cyclical stocks, while others remain bullish that growth stocks are still the best option. The question is not about the future but rather about the least risky and […]]]>

[*][**]

The stable post-pandemic recovery is starting to falter and threats to the portfolio are starting to emerge. Investors are now turning actively bearish and turning to cyclical stocks, while others remain bullish that growth stocks are still the best option. The question is not about the future but rather about the least risky and most bullish exposure in the current environment. The O’Shares Global Internet Giants Index ETF (OGIG) can be an opportunity to invest in growth at great value.

Straddle the growth-value line

OGIG is a rules-based ETF that follows both the quality / value characteristics of internet companies. These businesses must include a majority share of their revenues either in Internet commerce or in the technology services that underpin electronic commerce. Internet companies are a clear sign of growth, and OGIG’s largest holdings include Amazon, Google and Microsoft in the United States; and Tencent, Alibaba Group and Shopify * from overseas. In addition to growth, the fund optimizes the most important value driver: income. Over the past three years, sales have been one of the best performance indicators. As the top quartile of tech stocks, the annualized return for the quartile below has nearly doubled. Part of what makes this fund so attractive is that income is a tool against future headwinds, but we’ll talk about that later.

Since the start of the pandemic, actions have behaved well. The S&P 500 ** had a pure return of 94.4% from the low on March 20, 2020 through 9/15/2020, but OGIG significantly exceeded it. With a growth of 153% since that same date, OGIG eclipses even its competitors like the Nasdaq 100 by more than 20 percentage points. The main reason for this is the income value factor. This results in a 20% reduction in the relative price / sales ratio against the Nasdaq 100 from the 3-year average. The other driver is exposure to the world’s fastest growing technology companies in emerging markets, China and Canada.

The future landscape

Investors are worried about the spread of the delta variant, weak economic growth and future inflation, but all of these risks are of little concern to OGIG. E-commerce is the engine of OGIG’s success, which would only be fueled by a recovery in the delta variant and has become institutionalized in the US economy in a return to normal. Slow economic growth is a concern for non-income-generating businesses, but robust income-generators outperform competitors in tough economic times. Meanwhile, it is the hyper-growth outlook that worries future inflation as they have no current income. And besides, the latest inflation data suggests that Powell is correct that inflation is transient.

Finally, regulations in China started increasing in July, but the lion’s share of that regulation has already passed. Historically, China has been quick to remove all policies that hinder its future growth. In fact, Chinese regulations actually provide a solid landscape for the fast growing tech sector with more assurances for the future.

Grow and protect yourself with the O’Shares Global Internet Giant ETF.

– This is sponsored content by the O’Shares ETFs –


[*] Click on here to see the top 10 holdings of the fund.

[**] Definitions:

S&P 500: The S&P 500® is widely regarded as the best single gauge of US large cap stocks and serves as the basis for a wide range of investment products. The index includes 500 leading companies and covers around 80% of available market capitalization.

NASDAQ-100 Total Return Index: The NASDAQ-100 Index is a modified index weighted by capitalization of the 100 largest and most active national and international non-financial issues listed on the NASDAQ. No security may have a weighting greater than 24%. The index was developed with a base value of 125 on February 1, 1985. Prior to December 21, 1998, the Nasdaq 100 was a capitalization weighted index.

Relative price / sales ratio (P / S): The price-to-sales ratio is a valuation ratio that compares a company’s stock price to its earnings.


Before investing in the O’Shares ETF Investment Funds, please refer to the prospectus for important information on investment objectives, risks, fees and expenses. For a prospectus containing this and other important information, please visit www.oshares.com to view or download a prospectus online. Read the prospectus carefully before investing.

There are risks involved in investing, including the possible loss of capital. Concentration in a particular industry or sector will subject the Funds to losses due to adverse events which may affect that industry or sector. The Funds may use derivatives which may involve different or greater risks than those associated with more traditional investments. A Fund’s emphasis on dividend paying stocks involves the risk that these stocks will no longer be appreciated by investors and underperform the market. In addition, a company may reduce or eliminate its dividend after the Fund purchases the securities of such a company. Past performance is no guarantee of future results. Shares are bought and sold at market price (not net asset value), are not individually redeemable, and owners of Shares may acquire such Shares from the Funds and offer such shares for redemption to the Funds in aggregations of Units. creation only, made up of 50,000 Shares. Brokerage commissions will reduce returns. The market price of the Shares may be equal to, lower or higher than the net asset value. Market price returns are based on the midpoint of the bid / ask spread at 4:00 p.m. Eastern Time (when NAV is normally determined), and do not represent the returns you would receive if you were trading stocks at other times. O’Shares ETF investment funds are distributed by Foreside Fund Services, LLC. Foreside Fund Services, LLC is not affiliated with O’Shares ETF Investments or any of its affiliates.

View standardized performance for OGIG. Spending rate: 0.48%

The performance data quoted represents past performance and does not guarantee future results. Actual performance may be lower or better than the performance data quoted. The return on investment and the value of capital fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.

  • value
  • Growth
  • growth of large caps
  • technology

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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There’s a lot to love about the Williams-Sonoma action https://regiofora.com/theres-a-lot-to-love-about-the-williams-sonoma-action/ https://regiofora.com/theres-a-lot-to-love-about-the-williams-sonoma-action/#respond Mon, 11 Oct 2021 20:14:15 +0000 https://regiofora.com/theres-a-lot-to-love-about-the-williams-sonoma-action/ In a year when many retail investors turned to memes stocks and PSPC, a household goods retailer Williams-Sonoma (NYSE:WSM) avoided the risks and irrational valuations seen elsewhere in the market. And the WSM stock performed extremely well in 2021. Source: Jack drawings / Shutterstock.com The shares rose 74.13% in 2021 to close on September 30, […]]]>

In a year when many retail investors turned to memes stocks and PSPC, a household goods retailer Williams-Sonoma (NYSE:WSM) avoided the risks and irrational valuations seen elsewhere in the market. And the WSM stock performed extremely well in 2021.

Source: Jack drawings / Shutterstock.com

The shares rose 74.13% in 2021 to close on September 30, 2021, with a share price of $ 177.33. Recently, it was trading around $ 171 per share.

WSM is a stock that fits my ideal stock description perfectly.

In a nutshell, my ideal stock would be a company whose equities have an attractive valuation, very solid fundamentals, with reasonable and sustainable growth. A dividend would be a bonus – more than welcome.

While many investors are concerned that the WSM stock price has entered overvalued territory, I firmly believe that stocks are still attractive and could continue to provide outstanding performance.

WSM stock market news

Williams-Sonoma has a dividend and a forward yield of $ 2.84 and 1.48% respectively. This is a company that has shown steady growth in dividends over the past 10 years. According to The morning star, WSM’s stock dividend has increased each year, ranging from 73 cents per share in 2012 to $ 2.02 in 2021.

This makes the stock suitable for investors focused on dividend growth. When a company like Williams-Sonoma displays such a dividend policy, investors rely on it for reliable income. But there was more good news for dividend investors in August: “Williams-Sonoma, Inc. announces a quarterly dividend increase of 20% and a new share repurchase authorization of $ 1.25 billion.

Laura Alber, President and CEO of the Company, said these measures “reflect the strength of our business and our financial position and our commitment to maximizing returns for our shareholders.”

When you get a substantial increase in dividends and at the same time a stock buyback program, investors are rewarded but also know that management is signaling that the stock may be undervalued as well.

The culture that the management of Williams-Sonoma has for its shareholders is remarkable. Management is very efficient in maximizing shareholder value. This should be the case for all SOEs, except most of them ignore this rule.

Consecutive quarters of very good results

Williams Sonoma Has Strong First Quarter 2021 Results Report with “The sales growth of comparable brands in the first quarter accelerates to 40.4%” and raises the outlook for the whole of 2021. A company shows confidence in its business prospects when it raises its outlook for the entire year.

And this trust paid off because Williams-Sonoma reports record second quarter 2021 results.

The main highlights were:

  • Second quarter revenue increased 30.7% with comparable brand revenue growth of 29.8%
  • GAAP operating margin of 16.6% in Q2
  • Second quarter diluted GAAP EPS of $ 3.21; Second quarter non-GAAP diluted EPS of $ 3.24, up 80%

A very strong run of results is a key catalyst supporting the stock and could continue its momentum in 2021, although with a beta of 1.66 the stock is volatile.

A solid balance sheet

Dividend.com reports that WSM stock has three-year annualized dividend growth of 27.92%, 10-year annualized dividend growth of 258.18%, plus 15 consecutive years of dividend growth. These numbers are excellent.

In addition, the payout rate of 28.9% for 2021 is not excessive, is sustainable and the margin should increase. This is thanks to strong growth in EPS and free cash flow.

Williams Sonoma has a solid track record. The second quarter 2021 earnings report showed it had eliminated short-term debt and long-term debt compared to the debt the company had on its balance sheet in January. The 2021 net margin, ROE (return on equity) and ROA (return on assets) are all at the high end of their range of the past five years.

The free cash flow trend is also strong, with positive figures which have been on the rise for three years. MarketWatch states that WSM’s free cash flow was $ 395.88 million in 2019, $ 647.28 million in 2020 and $ 1.33 billion this year.

Zacks estimates a three to five year EPS growth of 8.46%. It is very attractive. On a relative basis, the data from CSI Market shows that the WSM share has a PE (T2 TTM) ratio of 13.33. This compares favorably to the PE ratio of 15.44 for the furniture and fixtures industry. The Consumer Discretionary sector is 44.78.

Net income from WSM shares

Williams-Sonoma has a strong dividend policy, very strong fundamentals, an attractive valuation and expected sustainable growth in EPS terms. I am very optimistic about its future financial and stock market performance.

As of the publication date, Stavros Georgiadis, CFA does not have (directly or indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, submitted to InvestorPlace.com Publication guidelines.

Stavros Georgiadis is a CFA Chartered Equity Research Analyst and Economist. He focuses on US stocks and has his own stock blog at thestockmarketontheinternet.com/. He has written various articles for other publications in the past and can be contacted on Twitter and on LinkedIn.


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IBM – Attractive growth, unattractive valuation by TipRanks https://regiofora.com/ibm-attractive-growth-unattractive-valuation-by-tipranks/ https://regiofora.com/ibm-attractive-growth-unattractive-valuation-by-tipranks/#respond Sun, 10 Oct 2021 14:30:00 +0000 https://regiofora.com/ibm-attractive-growth-unattractive-valuation-by-tipranks/ © Reuters. IBM – Attractive growth, unattractive valuation I am neutral on International Business Machines Corporation (NYSE :), because – if its dividend yield and the stability of its cash flows are attractive – the weak growth prospects of the company mean that its valuation is not particularly attractive for the moment. International Business Machines […]]]>

© Reuters. IBM – Attractive growth, unattractive valuation

I am neutral on International Business Machines Corporation (NYSE :), because – if its dividend yield and the stability of its cash flows are attractive – the weak growth prospects of the company mean that its valuation is not particularly attractive for the moment.

International Business Machines Corporation is a global leader in computer hardware and software, delivering business innovations through an open cloud platform and artificial intelligence around the world since 1911.

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IBM the strengths of

IBM has an extremely strong brand heritage and offers a diverse range of core offerings including cloud computing, software, hardware and artificial intelligence in more than 170 countries. It employs more than 300,000 people worldwide and has a combined turnover of more than $ 70 billion. Strategic acquisitions and mergers with IT, technology, AI and consulting companies have strengthened IBM’s position in the competitive global marketplace, and it is consistently recognized as one of the best brands in the world.

IBM’s recent results

In its second quarterly report 2021, IBM announced revenue of $ 18.75 billion, exceeding analysts’ expectations of $ 18.29 billion. Its earnings per share were $ 2.33 versus expected EPS of $ 2.29. The company’s revenue grew 3% year-on-year in the second quarter of 2021, the fastest growing in the past three years, and the company expects it to continue growing for the rest. of the year.

Its Cloud and Cognitive Software business, which includes the acquisition of Red Hat by IBM, generated revenue of $ 6.10 billion, up 6% from consensus estimates of $ 5.93 billion. dollars. Its Global Business Services unit added $ 4.3 billion in revenue, a growth of nearly 12%. Systems revenue was $ 1.71 billion, down 7%.

In the second quarter of 2021, IBM spent $ 1.75 billion on acquisitions, the highest amount it has spent in a single quarter since closing the $ 34 billion deal with Red Hat in the third quarter of 2019. The company said it was acquiring myInvenio, a software company; Turbonomic, an application management company; and Waeg, a Salesforce (NYSE 🙂 consulting firm.

IBM also announced 2 nanometer chip technology and new AI capabilities for its Watson Studio software.

Following its better-than-expected results, IBM shares rose 4%. The company did not provide formal guidelines; however, management continues to expect revenues to increase throughout the year. He also expects adjusted free cash flow of between $ 11 billion and $ 12 billion for fiscal 2021.

Assessment measures

IBM’s stock appears reasonably valued at this time, as its EV / EBITDA ratio and normalized price-to-earnings ratio both indicate that the stock is trading near its historical range. The EV / EBITDA ratio is currently 9.24x, compared to a 5-year average of 8.94x. The normalized price-to-earnings ratio is currently 12.40x, compared to its 5-year average of 11.03x. (See IBM stock charts on TipRanks)

The Taking of Wall Street

From Wall Street analysts, IBM obtains a moderate buy analyst consensus, based on 4 buy ratings, 6 hold ratings and 0 sell ratings in the past 3 months. Additionally, IBM’s average price target of $ 158.20 places the upside potential at 10.46%.

Summary and conclusions

IBM is a global information technology giant with a strong divide around its current revenue stream. However, the company has struggled to grow for an extended period and concerns remain about its competitive positioning in its growth businesses relative to tech giants like Microsoft (NASDAQ :), Oracle (NYSE :), Google (NASDAQ 🙂 and Amazon. (NASDAQ :).

That said, the price isn’t necessarily expensive – although it’s not particularly cheap either – so I think investors might want to wait for a pullback before initiating a position.

Disclosure: At the time of publication, Samuel Smith does not have a position in any of the titles mentioned in this article.

Disclaimer: The information in this article represents the views and opinion of the author only, and not the views or opinion of Tipranks or its affiliates, and should be considered for informational purposes only. Tipranks makes no warranty as to the completeness, accuracy or reliability of this information. Nothing in this article should be construed as a recommendation or solicitation to buy or sell securities. Nothing in the article constitutes legal, professional, investment and / or financial advice and / or takes into account the specific needs and / or requirements of an individual, and nothing in the article constitutes an full or complete statement of the questions or topic is discussed therein. Tipranks and its affiliates are not responsible for the content of the article, and any action taken on the information contained in the article is at your own risk. Linking to this article does not constitute an endorsement or recommendation of Tipranks or its affiliates. Past performance is no guarantee of future results, prices or performance.


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