The following are today's upgrades for Validea's Earnings Yield Investor model based on the published strategy of Joel Greenblatt. This value model looks for companies with high return on capital and earnings yields.
URBAN ONE INC (UONEK) is a small-cap value stock in the Broadcasting & Cable TV industry. The rating according to our strategy based on Joel Greenblatt changed from 0% to 80% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Urban One, Inc. is an urban-oriented, multi-media company. The Company's core business is its radio broadcasting franchise, which is a radio broadcasting operation that primarily targets African American and urban listeners. Its segment includes radio broadcasting, cable television, Reach Media, and digital. The Company owns and/or operates approximately 64 independently formatted broadcast stations, including 54 FM or AM stations, 8 HD stations, and the 2 low power television stations it operates) located in 13 African American markets in the United States. Its Reach Media segment, a syndicated radio unit, launches syndicated radio shows, including the Rickey Smiley Morning Show, Get Up! Mornings with Erica Campbell, the Russ Parr Morning Show, and the DL Hughley Show. Its core radio broadcasting franchise operates under the brand Radio One. It also operates other brands, such as TV One, CLEO TV, Radio One, Reach, iOne Digital, One Solution, R1 Digital, One VIP, and Interactive One.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
| EARNINGS YIELD: | NEUTRAL |
| RETURN ON TANGIBLE CAPITAL: | NEUTRAL |
| FINAL RANKING: | FAIL |
Detailed Analysis of URBAN ONE INC
KONTOOR BRANDS INC (KTB) is a mid-cap value stock in the Apparel/Accessories industry. The rating according to our strategy based on Joel Greenblatt changed from 50% to 80% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Kontoor Brands, Inc. is a lifestyle apparel company. The Company operates through three segments: Wrangler, Lee, and Other. The Wrangler segment offers denim, apparel, and accessories for men and women. Wrangler branded products are available through wholesale arrangements with mass and mid-tier retailers, specialty stores, department stores, independently operated partnership stores, and e-commerce platforms, as well as through its Company-operated retail stores and websites. The Lee segment offers jeans, pants, shirts, shorts, and jackets for men, women, boys and girls, with boys and girls jackets licensed in the United States. The Company's products are sold in the United States through mass merchants, specialty stores, mid-tier and traditional department stores, Company-operated stores and online. Its products are also sold internationally, primarily in the Europe, Middle East and Africa and Asia-Pacific regions.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
| EARNINGS YIELD: | NEUTRAL |
| RETURN ON TANGIBLE CAPITAL: | NEUTRAL |
| FINAL RANKING: | FAIL |
Detailed Analysis of KONTOOR BRANDS INC
More details on Validea's Joel Greenblatt strategy
About Joel Greenblatt: In his 2005 bestseller The Little Book That Beats The Market, hedge fund manager Joel Greenblatt laid out a stunningly simple way to beat the market using two -- and only two -- fundamental variables. The "Magic Formula," as he called it, produced back-tested returns of 30.8 percent per year from 1988 through 2004, more than doubling the S&P 500's 12.4 percent return during that time. Greenblatt also produced exceptional returns as managing partner at Gotham Capital, a New York City-based hedge fund he founded. The firm averaged a remarkable 40 percent annualized return over more than two decades.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
