Valuentum Exclusive Analysis for the Discerning Investor

Symbol Keyword

Oct 29, 2017

Dividend Increases/Decreases for the Week Ending October 27
Let's take a look at companies raising/lowering their dividends this week.

Oct 27, 2017

Analysis of Aspen Technology (AZPN) and IPG Photonics (IPGP)
Image Source: Aspen Tech. Aspen Technology helps some of the most capital-intensive industries optimize asset performance via process modeling, big data machine learning, and analytics, and its very own asset-light operations help it generate impressive levels of free cash flow. Shares aren’t cheap, however (it is trading above our fair value estimate range), and current price levels imply one hefty price-to-earnings ratio. Still, it’s hard not to like Aspen Technology’s high-ROIC business model, with the company garnering one of the highest Economic Castle ratings in our coverage. IPG Photonics is home to an impressive portfolio of high-performance fiber lasers and similar technologies that are used in materials processing, advanced communications, and medical applications--areas and applications that are expected to experience strong growth in coming years. We think IPG Photonics’ degree of vertical integration, IP portfolio, and process expertise offer it a number of competitive advantages. The company boasts a GAAP operating margin in the mid-30s and has generated impressive free cash flow expansion in recent years, but shares aren’t cheap either (it is trading at the high end of our fair value estimate range). Customer concentration and expansion into unproven markets add a layer of risk.

Oct 25, 2017

Does Visa Ever Disappoint?
Image Source: Visa. The credit card company's stock hit an all-time high on the trading session October 25. We continue to be huge fans of the company’s fundamentals.

Oct 24, 2017

Bellwethers Drive Dow Jones Past 23,450 – Cheers!
Image: The stock market is partying like it's 1999 or 1929, or 1987. You pick. Cheers! Creative Commons, Ruth Hartnup. The market is reacting positively to calendar third-quarter earnings reports during the trading session October 24, and the Dow Jones Industrial Average has now surpassed 23,450+. The rally in US equities ensues. Stocks mentioned in this note: General Motors, McDonald’s, and Caterpillar.

Oct 23, 2017

Earnings Roundup: Unilever, Procter & Gamble, Kimberly-Clark
We love the business models of consumer staples, but recent fundamental performance hasn’t been great, and valuations are a bit stretched. Unilever is blaming natural disasters in the US for its underlying sales growth shortfalls, Procter & Gamble has to deliver now that it defeated Nelson Peltz, and Kimberly-Clark’s meager top-line expansion may not support its valuation. A good business does not always make a good stock.

Oct 15, 2017

Dividend Increases/Decreases for the Week Ending October 13
Let's take a look at companies raising/lowering their dividends this week.

Oct 14, 2017

Euphoria Running Rampant: Investigating Some of the Hottest Names Around
Image Source: Tesla Roadster. As we march forward in what Morgan Stanley has dubbed a bull market of “epic proportions,” euphoria appears to be at levels perhaps not seen since the dot-com bust of the early 2000s. Let’s take a look at some of the “hottest” names on the market.

Oct 8, 2017

Dividend Increases/Decreases for the Week Ending October 6
Let's take a look at companies raising/lowering their dividends this week.

Oct 5, 2017

The Bull Case for Airline Stocks?
Image Source: BriYYZ. Warren Buffett has famously said that airline stocks are horrible long-term investments, but his vast portfolio now owns a number of airlines. What’s the bull case for owning these capital-intensive, cyclical and often boom-and-bust stocks?

Oct 5, 2017

The Legal Battle Between Regeneron and Amgen Heats Up
Image Source: Regeneron. The legal battle between two of the titans of the biotech world heated up further with a recent ruling overturning the injunction of a critical asset. We are updating our thesis in light of current events.