This week, we provide top-five ranked VE data for our Basic Materials stocks. We take a look at our latest data on JCPenney JCP$ and provide a free download link for our stock report on the company.
VALUATION WATCH: Overvalued stocks now make up 61.31% of our stocks assigned a valuation and 28.17% of those equities are calculated to be overvalued by 20% or more. Thirteen sectors are calculated to be overvalued. Because overvaluation is now calculated to be above 60%, we have re-instituted our valuation watch.
ValuEngine Index Overview
| Index | Week Open | Friday AM | Change | % Change | YTD |
| DJIA | 23348.95 | 23388.68 | 39.73 | 0.17% | 18.35% |
| NASDAQ | 6641.57 | 6647.22 | 5.65 | 0.09% | 23.48% |
| RUSSELL 2000 | 1509.67 | 1495.99 | -13.68 | -0.91% | 10.23% |
| S&P 500 | 2578.08 | 2570.31 | -7.77 | -0.30% | 14.81% |
ValuEngine Market Overview
| Summary of VE Stock Universe | |
| Stocks Undervalued | 38.69% |
| Stocks Overvalued | 61.31% |
| Stocks Undervalued by 20% | 19.42% |
| Stocks Overvalued by 20% | 28.17% |
ValuEngine Sector Overview
| Sector | Change | MTD | YTD | Valuation | Last 12-MReturn | P/E Ratio |
| Aerospace | -0.29% | 1.92% | 16.81% | 30.44% overvalued | 37.73% | 23.23 |
| Computer and Technology | 0.05% | 2.17% | 26.82% | 16.76% overvalued | 20.97% | 33.27 |
| Industrial Products | 0.06% | 1.53% | 16.02% | 16.20% overvalued | 27.90% | 25.74 |
| Multi-Sector Conglomerates | 0.12% | 2.35% | 14.26% | 14.68% overvalued | 15.56% | 20.76 |
| Auto-Tires-Trucks | 0.27% | 1.29% | 26.81% | 12.88% overvalued | 35.85% | 15.20 |
| Construction | 0.62% | 1.30% | 22.90% | 12.00% overvalued | 29.39% | 23.75 |
| Utilities | 0.02% | 1.00% | 22.97% | 11.60% overvalued | 15.37% | 22.76 |
| Finance | 0.12% | 1.22% | 11.13% | 10.86% overvalued | 16.98% | 19.01 |
| Consumer Discretionary | -0.10% | -0.24% | 14.23% | 8.30% overvalued | 20.22% | 24.92 |
| Business Services | 0.32% | 0.63% | 10.43% | 8.03% overvalued | 9.54% | 26.51 |
| Transportation | 0.41% | 0.91% | 18.89% | 4.59% overvalued | 23.98% | 22.70 |
| Consumer Staples | 0.43% | 0.25% | 5.87% | 4.34% overvalued | 8.46% | 25.79 |
| Basic Materials | -0.89% | 1.42% | 17.18% | 1.75% overvalued | 11.24% | 26.57 |
| Medical | -0.92% | -3.27% | 17.82% | 0.52% undervalued | 13.29% | 28.75 |
| Retail-Wholesale | 0.21% | -1.02% | 2.08% | 2.05% undervalued | 7.85% | 23.39 |
| Oils-Energy | 0.19% | -3.88% | -0.02% | 16.42% undervalued | -8.07% | 28.54 |
Sector Talk–Basic Materials
Below, we present the latest data on Basic Materials stocks from our Professional Stock Analysis Service. Top- five lists are provided for each category. We applied some basic liquidity criteria–share price greater than $3 and average daily volume in excess of 100k shares.
Top-Five Basic Materials Stocks–Short-Term Forecast Returns
| Ticker | Name | Mkt Price | Valuation (%) | Last 12-M Return (%) |
| DQ | DAQO NEW ENERGY | 35.62 | 40.94% | 51.64% |
| VALE | VALE SA | 9.88 | -6.62% | 42.98% |
| TX | TERNIUM SA-ADR | 32.35 | 9.10% | 34.79% |
| TSE | TRINSEO SA | 71.55 | 10.20% | 32.99% |
| MT | ARCELOR MITTAL | 29.4 | -14.37% | 45.60% |
Top-Five Basic Materials Stocks–Momentum
| Ticker | Name | Mkt Price | Valuation (%) | Last 12-M Return (%) |
| KRO | KRONOS WORLDWD | 26.83 | 68.05% | 241.35% |
| IPI | INTREPID POTASH | 3.8 | -34.02% | 239.29% |
| CC | CHEMOURS COMPNY | 56.61 | N/A | 233.98% |
| TROX | TRONOX LTD | 27.14 | N/A | 221.18% |
| ASIX | ADVANSIX INC | 44.86 | N/A | 172.71% |
Top-Five Basic Materials Stocks–Composite Score
| Ticker | Name | Mkt Price | Valuation (%) | Last 12-M Return (%) |
| MT | ARCELOR MITTAL | 29.4 | -14.37% | 45.60% |
| VALE | VALE SA | 9.88 | -6.62% | 42.98% |
| FCX | FREEPT MC COP-B | 14.69 | -15.83% | 38.85% |
| TX | TERNIUM SA-ADR | 32.35 | 9.10% | 34.79% |
| PKX | POSCO-ADR | 72.69 | 5.51% | 35.44% |
Top-Five Basic Materials Stocks–Most Overvalued
| Ticker | Name | Mkt Price | Valuation (%) | Last 12-M Return (%) |
| SQM | SOC QUIMICA MIN | 60.11 | 99.15% | 105.36% |
| ALB | ALBEMARLE CORP | 139.04 | 82.63% | 71.46% |
| HUN | HUNTSMAN CORP | 29.8 | 74.16% | 79.95% |
| KRO | KRONOS WORLDWD | 26.83 | 68.05% | 241.35% |
| KRA | KRATON CORP | 48.57 | 67.35% | 54.24% |
Free Download for Readers
As a bonus to our Free Weekly Newsletter subscribers,
we are offering a FREE DOWNLOAD of one of our Stock Reports
JCPenney (JCP) is one of America’s leading retailers, operating department stores throughout the United States and Puerto Rico, as well as one of the largest apparel and home furnishing sites on the Internet, jcp.com, and the nation’s largest general merchandise catalog business. Through these integrated channels, JCPenney offers a wide array of national, private and exclusive brands.
VALUENGINE RECOMMENDATION: ValuEngine continues its HOLD recommendation on JCPenney INC for 2017-10-26. Based on the information we have gathered and our resulting research, we feel that JCPenney INC has the probability to ROUGHLY MATCH average market performance for the next year. The company exhibits ATTRACTIVE Price Sales Ratio but UNATTRACTIVE Momentum.
You can download a free copy of detailed report on JCPenney (JCP) from the link below.
Read our Complete Rating and Forecast Report HERE.
| ValuEngine Forecast | ||
| Target Price* |
Expected Return |
|
|---|---|---|
| 1-Month | 3.68 | 0.42% |
| 3-Month | 3.63 | -0.80% |
| 6-Month | 3.46 | -5.39% |
| 1-Year | 3.84 | 5.03% |
| 2-Year | 3.47 | -5.24% |
| 3-Year | 3.77 | 2.96% |
| Valuation & Rankings | |||
| Valuation | 66.36% undervalued | Valuation Rank(?) | 97 |
| 1-M Forecast Return | 0.42% | 1-M Forecast Return Rank | 81 |
| 12-M Return | -56.48% | Momentum Rank(?) | 6 |
| Sharpe Ratio | -0.70 | Sharpe Ratio Rank(?) | 11 |
| 5-Y Avg Annual Return | -37.05% | 5-Y Avg Annual Rtn Rank | 15 |
| Volatility | 53.10% | Volatility Rank(?) | 31 |
| Expected EPS Growth | 12.70% | EPS Growth Rank(?) | 44 |
| Market Cap (billions) | 1.12 | Size Rank | 63 |
| Trailing P/E Ratio | 8.71 | Trailing P/E Rank(?) | 95 |
| Forward P/E Ratio | 7.73 | Forward P/E Ratio Rank | 92 |
| PEG Ratio | 0.69 | PEG Ratio Rank | 55 |
| Price/Sales | 0.09 | Price/Sales Rank(?) | 98 |
| Market/Book | 0.97 | Market/Book Rank(?) | 81 |
| Beta | 0.58 | Beta Rank | 60 |
| Alpha | -0.97 | Alpha Rank | 3 |
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