Sentences with phrase «earnings quality value»

Not exact matches

That means weighting stocks in an index by qualities such as earnings, cash flow, dividends and book values rather than the sheer size of their market caps.

Actual results, including with respect to our targets and prospects, could differ materially due to a number of factors, including the risk that we may not obtain sufficient orders to achieve our targeted revenues; price competition in key markets; the risk that we or our channel partners are not able to develop and expand customer bases and accurately anticipate demand from end customers, which can result in increased inventory and reduced orders as we experience wide fluctuations in supply and demand; the risk that our commercial Lighting Products results will continue to suffer if new issues arise regarding issues related to product quality for this business; the risk that we may experience production difficulties that preclude us from shipping sufficient quantities to meet customer orders or that result in higher production costs and lower margins; our ability to lower costs; the risk that our results will suffer if we are unable to balance fluctuations in customer demand and capacity, including bringing on additional capacity on a timely basis to meet customer demand; the risk that longer manufacturing lead times may cause customers to fulfill their orders with a competitor's products instead; the risk that the economic and political uncertainty caused by the proposed tariffs by the United States on Chinese goods, and any corresponding Chinese tariffs in response, may negatively impact demand for our products; product mix; risks associated with the ramp - up of production of our new products, and our entry into new business channels different from those in which we have historically operated; the risk that customers do not maintain their favorable perception of our brand and products, resulting in lower demand for our products; the risk that our products fail to perform or fail to meet customer requirements or expectations, resulting in significant additional costs, including costs associated with warranty returns or the potential recall of our products; ongoing uncertainty in global economic conditions, infrastructure development or customer demand that could negatively affect product demand, collectability of receivables and other related matters as consumers and businesses may defer purchases or payments, or default on payments; risks resulting from the concentration of our business among few customers, including the risk that customers may reduce or cancel orders or fail to honor purchase commitments; the risk that we are not able to enter into acceptable contractual arrangements with the significant customers of the acquired Infineon RF Power business or otherwise not fully realize anticipated benefits of the transaction; the risk that retail customers may alter promotional pricing, increase promotion of a competitor's products over our products or reduce their inventory levels, all of which could negatively affect product demand; the risk that our investments may experience periods of significant stock price volatility causing us to recognize fair value losses on our investment; the risk posed by managing an increasingly complex supply chain that has the ability to supply a sufficient quantity of raw materials, subsystems and finished products with the required specifications and quality; the risk we may be required to record a significant charge to earnings if our goodwill or amortizable assets become impaired; risks relating to confidential information theft or misuse, including through cyber-attacks or cyber intrusion; our ability to complete development and commercialization of products under development, such as our pipeline of Wolfspeed products, improved LED chips, LED components, and LED lighting products risks related to our multi-year warranty periods for LED lighting products; risks associated with acquisitions, divestitures, joint ventures or investments generally; the rapid development of new technology and competing products that may impair demand or render our products obsolete; the potential lack of customer acceptance for our products; risks associated with ongoing litigation; and other factors discussed in our filings with the Securities and Exchange Commission (SEC), including our report on Form 10 - K for the fiscal year ended June 25, 2017, and subsequent reports filed with the SEC.

«I would argue that the good companies that trade at expensive multiples are better quality companies and deserve a higher multiple,» she says, pointing to the example of retailer Dollarama Inc. (TSX: DOL), which trades at 28.8 times current - year earnings — seemingly rich even for its sector — with an enterprise value - to - EBITDA ratio of 19.8.

«Our strategy is to own high quality, modestly valued business over many years, to take advantage of the power of compounding as earnings grow.

The Magic Formula diverges from Graham's strategy by exchanging for Graham's absolute price and quality measures (i.e. price - to - earnings ratio below 10, and debt - to - equity ratio below 50 percent) a ranking system that seeks those stocks with the best combination of price and quality more akin to Buffett's value investing philosophy.

Recent research has shown that high - quality early - childhood education has large impacts on outcomes such as college completion and adult earnings, but no study has identified the long - term impacts of teacher quality as measured by value added.

The new study by Raj Chetty, John Friedman, and Jonah Rockoff asks whether high - value - added teachers (i.e., teachers who raise student test scores) also have positive longer - term impacts on students, as reflected in college attendance, earnings, avoiding teenage pregnancy, and the quality of the neighborhood in which they reside as adults.

Preschool and other early childhood interventions have high benefit - cost ratios; for example, high quality preschool has a ratio of increased future earnings to cost of 5.3, that is increased future earnings whose value is $ 5.30 for each dollar of investment.

High - quality «value stocks» are reasonably - priced stocks, if not cheap, in relation to its sales, earnings or assets.

One of the key principles of successful investing is to buy high - quality «value stocks»: They're stock picks that are reasonably priced, if not cheap, in relation to their sales, earnings and assets.

Notice how these rules don't mention anything about book value or balance sheet consideration (at least not directly; he implies that these should be quality companies which would presumably mean companies with healthy balance sheets, but most of the emphasis on valuation revolves around earnings and dividends).

We create a Global Blend Rank by ranking our global universe of over 15,000 companies in terms of both their Value (across range of metrics based on dividends, earnings, cash flow, assets and sales) and Quality (based on measures of profitability, stability and financial strength).

The team ranks the stocks in this universe based on a series of growth factors, such as the change in consensus earnings estimates over time, the company's history of meeting earnings targets, earnings quality and improvements on return on equity, as well as a series of value criteria, such as price - to - earnings ratio and free cash flow relative to enterprise value.

But with those companies, I would be more insistent on a value price because, in my opinion, the earnings quality is great, not quite as high as a Johnson & Johnson or a Coca - Cola so it would be more important to create a margin of safety for yourself by getting a good price to ensure satisfactory future returns.

Luciano Siracusano, chief investment strategist at WisdomTree explains, «WisdomTree's existing suite of dividend - and earnings - weighted ETFs have typically tapped into the smart beta factors of value, quality and size and, in many instances, have outperformed their market capitalization - weighted benchmarks, while exhibiting relatively low tracking error against those benchmarks.

One of the key principles of successful investing is to buy high - quality «value stocks» — that is, stocks that are reasonably priced, if not cheap, in relation to their sales, earnings or assets.

So we have high quality companies that are compounding their book values, cash flows, earnings, and sales over long periods of time, and they are selling at below average valuations.

Compared to the S&P 500, S&P 500 Quality has a tilt towards value stocks, lower debt, lower earnings volatility and higher earnings growth — which are attributes usually associated with «good quality» comQuality has a tilt towards value stocks, lower debt, lower earnings volatility and higher earnings growth — which are attributes usually associated with «good quality» comquality» companies.

I was able to match the Value Composite Ranking as well as the Earnings Quality Rank.

I was able to replicate this article's Value Composite Percentile Rank and Earnings Quality Percentile Rank, but my Financial Strength Percentile Rank was off by an average of 4.9 percentage points.

More importantly, the value premium increases as we go to lower earnings quality firms, and this is primarily because of a decline in one year ahead mean returns of the growth stocks across the earnings quality quartiles and a corresponding rise in mean returns of the value stocks.

The ability to evaluate a company's balance sheet strength, cash flows, and earnings quality to determine something close to fair value is what gives the active manager an edge.

This is an important result and sheds light on the drivers of the relationship between earnings quality and the value premium.

Our analysts track stock prices, earnings and balance sheet information with an aim to identify good quality companies trading on a discount to their NAV which exhibit clear trends to create long - term value.

However, to date, the risk - inducing effect of earnings quality has been examined independently of the value — growth phenomenon.

The purpose of this paper, a joint work with Vasiliki Athanasakou, is to examine whether a value premium exists over our sample period, whether systematic risk is driving the value premium, whether idiosyncratic risk does a better job than systematic risk in explaining the value premium, and more importantly whether earnings quality contributes to a risk, mispricing or both explanations for the value premium.

By unraveling the effect of reported earnings quality on the value premium, our study suggests a way of further screening value stocks to improve value investing strategies.

Evidence suggests that growth stocks are associated with high accruals, i.e. poor earnings quality, but what about value firms?

As such, deteriorating earnings quality as a source of idiosyncratic risk could drive the value premium.

These results taken together suggest that earnings quality issues might be underlying both the mispricing and risk based explanations for the value premium and that combining earnings quality measures with the value and growth stock returns helps reconcile the conflicting evidence on the rationale for the value premium.

Had we only had access to the value premium across different earnings quality quartiles, it would have been difficult to conclude whether the driver of this relationship is risk or mispricing.

This provides support to the argument that the value premium may be driven by the mispricing of the poorer earnings quality of growth stocks.

In other words, based on the above arguments we hypothesize that earnings quality may underlie both a risk and a mispricing explanation for the value premium.

For example, the mean value premium for the best earnings quality firms is 0.006 (but not statistically significant), whereas the corresponding value premium for the poorest earnings quality firms is 0.096 (t - test: 5.96).

Deteriorating earnings quality contributes to the mispricing (overpricing) of growth stocks and to analyst uncertainty (risk) of value stocks.

One mistake was that, by focusing on cigar butts selling for low single - digit multiple of earnings or a low price in relation to liquidation value, I missed out buying into higher - quality businesses like Asian Paints and Pidilite, which compounded capital at high rates of return for a long time.

(If the standard is bad, value investors that watch the quality of earnings will gain additional advantages.)

In value investing, it is imperative that one considers the state of the industry invested in, the balance sheet of the company, and earnings quality.

Value investors will fare relatively better, as they spend more time on the balance sheet, income statement, and other earnings quality issues.

In general, lenders are more concerned about the value of company assets than earnings quality because in the case of earnings decline, the company can sell assets.

One of the sweetest and most profitable pleasures of successful investing is to buy high - quality «value stocks» (or stocks that are reasonably priced, if not cheap, in relation to their sales, earnings or assets), then hold on to them as investors recognize the value and push up the share price.

One of the key principles of successful investing is to buy high - quality «value stocks» — stocks that are reasonably priced, if not cheap, in relation to their sales, earnings and assets.

If you want to get better value investing returns, it's important to focus on stocks that are cheap in relation to earnings, and consider a variety of other investment qualities like years of profit, years of paying dividends, and manageable debt If you invest in good... Read More

The screen combines the four elements of quality and value (growth rate, growth quality, price to 10 year earnings average and price to 10 year dividend average) and ranks each eligible stock in the FTSE All - Share (about 200 companies are eligible, i.e. have an unbroken 10 year record of dividend payments).

I am excited about a position with an explicit emphasis on value creation, value recognition and execution of strategies to consistently deliver profitable earnings growth through the development of empirically based, complex financial models to optimize executive the quality of the executive decision making process.