Category: Investment Strategy Today

Eight stocks move into Buy Consideration while total market is within 6 points of 100% Fair Value.

The trade balance has been negative since 1992 so this is not a recent occurrence. Not all stocks are impacted by changes in trade economics the same way. It is not a universally good vs. bad influencer. For more information on how individual stocks are impacted visit the website under Economics > Trade.

USA GDP increases to 3.5% 3rd:Qtr (2nd est) Corporate Profits increased 3.4%. Eagle Bancorp, Equitrans Midstream and MasTec added to service and fair value assigned, Coherent, Facebook, Goldman Sachs and John Bean Technologies (not L.L. Bean) earn BUY considerations while Lamb Weston gets a SELL consideration.

Fourteen stocks added to Buy Consideration list today. All of these stocks have:
1. Moved into UnderValue,
2. Made a meaningful move back to fair value
3. Ranked in upper 1/3 for revenue growth over 5,3 and 1 yr or made a significant 1 yr improvement in revenue growth
4. Ranked in upper 1/3 in profitability measured by EDIT, EBITDA, Free Cash Flow/share.
5. Ranked 3 or better in World 10 factor measurement
6. Ranked 3 or better in EPS factor measurement
7. Ranked 2 or better in ISN combined ranking

Johnson Controls receives a Fair Value increase. Most considerations move toward the center (HOLD) as the markets continue to adjust relative fair value against expectations.