The following are today's upgrades for Validea's Low PE Investor model based on the published strategy of John Neff. This strategy looks for firms with persistent earnings growth that trade at a discount relative to their earnings growth and dividend yield.
JABIL INC (JBL) is a large-cap value stock in the Semiconductors industry. The rating according to our strategy based on John Neff changed from 62% to 81% 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: Jabil Inc. is a provider of manufacturing services and solutions. The Company provides comprehensive electronics design, production and product management services to companies in various industries and end markets. The Company has two segments: Electronics Manufacturing Services (EMS) and Diversified Manufacturing Services (DMS). EMS segment is focused on leveraging information technology (IT), supply chain design and engineering, technologies centered on core electronics, sharing of its manufacturing infrastructure and the ability to serve a range of markets. EMS segment produces product to the customers primarily in the fifth generation, wireless and cloud, digital print and retail, industrial and semi-cap, and networking and storage industries. DMS segment is focused on providing engineering solutions, with a focus on material sciences, technologies and healthcare. DMS segment includes customers primarily in the automotive and transportation, connected devices, and other.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | FAIL |
| FUTURE EPS GROWTH: | PASS |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | PASS |
Detailed Analysis of JABIL INC
TEREX CORP (TEX) is a mid-cap value stock in the Misc. Capital Goods industry. The rating according to our strategy based on John Neff changed from 62% to 81% 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: Terex Corporation is a manufacturer of materials processing machinery and aerial work platforms. The Company designs, builds and supports products used in construction, maintenance, manufacturing, energy, recycling, minerals and materials management applications. The Company operates through two segments: Materials Processing (MP) and Aerial Work Platforms (AWP). Its MP segment designs, manufactures, services and markets materials processing and specialty equipment, including crushers, washing systems, screens, trommels, apron feeders, material handlers, pick and carry cranes, rough terrain cranes, tower cranes, wood processing, biomass and recycling equipment, concrete mixer trucks and concrete pavers, conveyors, and their related components and replacement parts. Its AWP segment designs, manufactures, services and markets aerial work platform equipment, utility equipment and telehandlers. It markets aerial work platform products principally under the Terex and Genie brand names.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | PASS |
| SALES GROWTH: | FAIL |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | PASS |
Detailed Analysis of TEREX CORP
ENTERPRISE PRODUCTS PARTNERS LP (EPD) is a large-cap value stock in the Natural Gas Utilities industry. The rating according to our strategy based on John Neff changed from 62% to 81% 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: Enterprise Products Partners L.P. is a provider of midstream energy services to producers and consumers of natural gas, natural gas liquids (NGLs), crude oil, petrochemicals and refined products. The Company has four segments. NGL Pipelines & Services segment includes its natural gas processing and related NGL marketing activities, NGL pipelines, NGL fractionation facilities, NGL and related product storage facilities, and NGL marine terminals. Crude Oil Pipelines & Services segment includes its crude oil pipelines, crude oil storage and marine terminals, and related crude oil marketing activities. Natural Gas Pipelines & Services segment includes its natural gas pipeline systems that provide for the gathering, treating and transportation of natural gas. The segment also includes its natural gas marketing activities. Petrochemical & Refined Products Services segment includes its propylene production facilities, butane isomerization complex, and other.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | FAIL |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | PASS |
Detailed Analysis of ENTERPRISE PRODUCTS PARTNERS LP
ARCOSA INC (ACA) is a mid-cap value stock in the Construction Services industry. The rating according to our strategy based on John Neff changed from 62% to 81% 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: Arcosa, Inc. is a provider of infrastructure-related products and solutions with brands serving construction, engineered structure, and transportation markets in North America. The Company's segments are Construction Products, Engineered Structures and Transportation Products. Its Construction Products segment produces and sells natural and recycled aggregates, specialty materials, and construction site support equipment, including trench shields and shoring products. Its Engineered Structures segment manufactures and sells steel structures for infrastructure businesses, including utility structures for electricity transmission and distribution, structural wind towers, traffic structures, and telecommunication structures. This segment also manufactures distribution tanks. The Transportation Products segment manufactures and sells inland barges, fiberglass barge covers, winches, marine hardware, and steel components for railcars and other transportation and industrial equipment.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | FAIL |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | PASS |
Detailed Analysis of ARCOSA INC
ARMADA HOFFLER PROPERTIES INC (AHH) is a small-cap value stock in the Real Estate Operations industry. The rating according to our strategy based on John Neff changed from 60% to 79% 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: Armada Hoffler Properties, Inc. is a vertically integrated, self-managed real estate investment trust (REIT). The Company is engaged in developing, building, acquiring, and managing office, retail and multifamily properties located primarily in the Mid-Atlantic and Southeastern United States. The Company also provides general construction and development services to third-party clients. The Company operates through four segments: office real estate, retail real estate, multifamily residential real estate, and general contracting and real estate services. The Company's general contracting, and real estate services business develops and builds properties for its own account and provides construction and development services to both related and third parties. The Company leases its properties under operating leases and recognizes base rents when earned on a straight-line basis over the lease term. It has developed mid- and high-rise office buildings and retail strip malls, among others.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | FAIL |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | FAIL |
| EPS PERSISTENCE: | PASS |
Detailed Analysis of ARMADA HOFFLER PROPERTIES INC
GREENE COUNTY BANCORP INC (GCBC) is a small-cap value stock in the Regional Banks industry. The rating according to our strategy based on John Neff changed from 62% to 81% 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: Greene County Bancorp, Inc. is a holding company of The Bank of Greene County (the Bank). The Bank's principal business consists of attracting retail deposits from the general public in the areas surrounding its branches and investing those deposits, together with funds generated from operations and borrowings, primarily in residential mortgage loans, commercial real estate mortgage loans, consumer loans, home equity loans and commercial business loans. In addition, the Bank invests a significant portion of its assets in state and political subdivision securities and mortgage-backed securities. The Bank engaged in residential and commercial real estate mortgages, consumer and commercial loans, and other types of securities, as well as deposit accounts, debit card and life insurance. The Bank offers investment alternatives for customers. The Bank's subsidiaries include, Greene County Commercial Bank, a commercial bank and Greene Property Holdings, Ltd, a real estate investment trust.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | FAIL |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | PASS |
Detailed Analysis of GREENE COUNTY BANCORP INC
KONTOOR BRANDS INC (KTB) is a mid-cap value stock in the Apparel/Accessories industry. The rating according to our strategy based on John Neff changed from 40% to 79% 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 designs, produces, procures, markets, distributes and licenses apparel, footwear and accessories, primarily under the brand names Wrangler and Lee. Its segments include Wrangler, Lee, and Other. The Wrangler segment offers denim, apparel, and accessories for adults and children. 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. Its Lee segment offers jeans, pants, shirts, shorts, and jackets for adults and children. Its 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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | PASS |
| SALES GROWTH: | FAIL |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | FAIL |
| EPS PERSISTENCE: | PASS |
Detailed Analysis of KONTOOR BRANDS INC
BETTERWARE DE MEXICO SAPI DE CV (BWMX) is a small-cap value stock in the Retail (Specialty) industry. The rating according to our strategy based on John Neff changed from 60% to 79% 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: Betterware de Mexico, S.A.B. DE C.V.. is a Mexico-based company that sells household appliances through an online portal. The Company operates through a Catalogue that shows the different retail household products that it comprises,including kitchen appliances, garden tools, and everyday accesories among other categories. The Company operates accross all of the Mexican states as Betterware's products reach every city in Mexico due to the strategic position of their production plant.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | FAIL |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | FAIL |
Detailed Analysis of BETTERWARE DE MEXICO SAPI DE CV
CONCENTRIX CORP (CNXC) is a mid-cap value stock in the Computer Services industry. The rating according to our strategy based on John Neff changed from 60% to 79% 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: Concentrix Corporation is a global provider of Customer Experience (CX) solutions and technology. The Company provides end-to-end capabilities, including CX process optimization, technology innovation, front- and back-office automation, analytics and business transformation services to clients. It offers its clients integrated solutions supporting the customer lifecycle; CX and user experience (UX) strategy and design, and analytics and actionable insights. Its Customer Lifecycle Management solutions include services, such as customer care, sales support, digital marketing, technical support, digital self-service, content moderation, creative design and content production, and back-office services. The Company's CX/UX Strategy and Design solutions include CX strategy, data-driven user design, journey mapping and multi-platform engineering. Its Digital Transformation solutions include services, such as Robotic Process Automation (RPA) and cognitive automation.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | FAIL |
| FUTURE EPS GROWTH: | PASS |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | FAIL |
Detailed Analysis of CONCENTRIX CORP
DT MIDSTREAM INC (DTM) is a mid-cap value stock in the Natural Gas Utilities industry. The rating according to our strategy based on John Neff changed from 60% to 79% 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: DT Midstream, Inc. is an owner, operator, and developer of an integrated portfolio of natural gas midstream assets. The Company operates through two segments: Pipeline and Gathering. The Pipeline segment owns and operates interstate and intrastate natural gas pipelines, storage systems, and natural gas gathering lateral pipelines. This segment also has interests in equity method investees that own and operate interstate natural gas pipelines. It is also engaged in the transportation and storage of natural gas for intermediate and end user customers. The Gathering segment owns and operates gas gathering systems. This segment is engaged in collecting natural gas from points at or near customers wells for delivery to plants for processing, to gathering pipelines for further gathering, or to pipelines for transportation, as well as associated ancillary services, including compression, dehydration, gas treatment, water impoundment, water storage, water transportation and sand mining.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | FAIL |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | FAIL |
Detailed Analysis of DT MIDSTREAM INC
TDCX INC (ADR) (TDCX) is a small-cap value stock in the Computer Services industry. The rating according to our strategy based on John Neff changed from 60% to 79% 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: TDCX Inc. is a Singapore-based company, which provides digital customer experience solutions. The Company offers three key service offerings: omnichannel CX solutions; sales and digital marketing services; and content monitoring and moderation services. It also offers services consisting of miscellaneous activities, such as providing workspaces to existing clients and providing human resource, administration services to clients. The Company's sales and digital marketing services helps the clients market their products and services to potential customers in both the business-to-consumer (B2C) and the business-to-business (B2B) markets. Its content monitoring and moderation services help the clients create a safe and secure online environment for social media platforms by providing a human touch to content monitoring and moderation services.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | FAIL |
| FUTURE EPS GROWTH: | PASS |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | PASS |
| EPS PERSISTENCE: | FAIL |
Detailed Analysis of TDCX INC (ADR)
ESCALADE INC (ESCA) is a small-cap value stock in the Recreational Products industry. The rating according to our strategy based on John Neff changed from 58% to 77% 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: Escalade, Incorporated (Escalade) designs, manufactures, and sells sporting goods, fitness, and indoor/outdoor recreation equipment. The Company manufactures, imports, and distributes sporting goods brands in basketball goals, archery, indoor and outdoor game recreation and fitness products through sporting goods retailers, specialty dealers, key on-line retailers, traditional department stores and mass merchants. Escalade's brands include Bear Archery; STIGA, a table tennis brand; Accudart; RAVE Sports; Victory Tailgate; Onix, a Pickleball brand; Goalrilla; Lifeline fitness products; Woodplay and American Heritage Billiards. The Company's archery brands consist of Trophy Ridge, Cajun Bowfishing, Bear Traditional and Bear X. Its basketball brands include Goalrilla, Goalsetter, Goaliath, Silverback and Hoopstar. Its outdoor games brands include Victory Tailgate, Triumph Sports, Zume Games and Viva Sol. The Company's darting brands include Unicorn, Winmau, Arachnid, Nodor, and Prodigy.
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.
| P/E RATIO: | PASS |
| EPS GROWTH: | PASS |
| FUTURE EPS GROWTH: | FAIL |
| SALES GROWTH: | PASS |
| TOTAL RETURN/PE: | PASS |
| FREE CASH FLOW: | FAIL |
| EPS PERSISTENCE: | FAIL |
Detailed Analysis of ESCALADE INC
About John Neff: While known as the manager with whom many top managers entrusted their own money, Neff was far from the smooth-talking, high-profile Wall Streeter you might expect. He was mild-mannered and low-key, and the same might be said of the Windsor Fund that he managed for more than three decades. In fact, Neff himself described the fund as "relatively prosaic, dull, [and] conservative." There was nothing dull about his results, however. From 1964 to 1995, Neff guided Windsor to a 13.7 percent average annual return, easily outpacing the S&P 500's 10.6 percent return during that time. That 3.1 percentage point difference is huge over time -- a $10,000 investment in Windsor (with dividends reinvested) at the start of Neff's tenure would have ended up as more than $564,000 by the time he retired, more than twice what the same investment in the S&P would have yielded (about $233,000). Considering the length of his tenure, that track record may be the best ever for a manager of such a large fund.
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.
