Markets

Validea Motley Fool Strategy Daily Upgrade Report - 8/23/2019

The following are today's upgrades for Validea's Small-Cap Growth Investor model based on the published strategy of Motley Fool. This strategy looks for small cap growth stocks with solid fundamentals and strong price performance.

FLY LEASING LTD(ADR) (FLY) is a small-cap value stock in the Rental & Leasing industry. The rating according to our strategy based on Motley Fool changed from 69% to 76% 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: Fly Leasing Limited is engaged in purchasing commercial aircraft, which it leases under multi-year contracts to a range of airlines throughout the world. The Company primarily acquires aircraft by entering into purchase and leaseback transactions with airlines for new aircraft; purchasing portfolios, which consists of aircraft of various types and ages, and acquiring individual aircraft. Its aircraft are leased under multi-year contracts to various group of airlines in Europe; Asia and South Pacific; Mexico, South and Central America; North America, and Middle East and Africa.

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.

PROFIT MARGIN: PASS
RELATIVE STRENGTH: PASS
COMPARE SALES AND EPS GROWTH TO THE SAME PERIOD LAST YEAR: PASS
INSIDER HOLDINGS: FAIL
CASH FLOW FROM OPERATIONS: FAIL
PROFIT MARGIN CONSISTENCY: PASS
R&D AS A PERCENTAGE OF SALES: NEUTRAL
CASH AND CASH EQUIVALENTS: PASS
ACCOUNTS RECEIVABLE TO SALES: PASS
LONG TERM DEBT/EQUITY RATIO: FAIL
"THE FOOL RATIO" (P/E TO GROWTH): PASS
AVERAGE SHARES OUTSTANDING: PASS
SALES: PASS
DAILY DOLLAR VOLUME: PASS
PRICE: PASS
INCOME TAX PERCENTAGE: FAIL

For a full detailed analysis using NASDAQ's Guru Analysis tool, click here

COMPX INTERNATIONAL INC. (CIX) is a small-cap value stock in the Misc. Fabricated Products industry. The rating according to our strategy based on Motley Fool changed from 69% to 76% 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: CompX International Inc. is a manufacturer of security products used in the recreational transportation, postal, office and institutional furniture, cabinetry, tool storage, healthcare and other industries, and stainless steel exhaust systems, gauges and throttle controls for the recreational marine industry. The Company operates through two business segments: Security Products and Marine Components. Its security products include disc tumbler locks; pin tumbler locking mechanisms, and CompX eLock and StealthLock electronic locks. Its marine components include original equipment and aftermarket stainless steel exhaust headers, exhaust pipes, mufflers and other exhaust components; gauges; mechanical and electronic controls and throttles; steering wheels and other billet aluminum accessories, and dash panels. The Company's brands include National Cabinet Lock, Fort Lock, Timberline Lock, Chicago Lock, Mega Rim, Race Rim, Vantage View and GEN-X.

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.

PROFIT MARGIN: PASS PROFIT MARGIN: PASS
RELATIVE STRENGTH: PASS RELATIVE STRENGTH: FAIL
COMPARE SALES AND EPS GROWTH TO THE SAME PERIOD LAST YEAR: PASS COMPARE SALES AND EPS GROWTH TO THE SAME PERIOD LAST YEAR: FAIL
INSIDER HOLDINGS: FAIL INSIDER HOLDINGS: FAIL
CASH FLOW FROM OPERATIONS: FAIL CASH FLOW FROM OPERATIONS: PASS
PROFIT MARGIN CONSISTENCY: PASS PROFIT MARGIN CONSISTENCY: PASS
R&D AS A PERCENTAGE OF SALES: NEUTRAL R&D AS A PERCENTAGE OF SALES: NEUTRAL
CASH AND CASH EQUIVALENTS: PASS CASH AND CASH EQUIVALENTS: PASS
ACCOUNTS RECEIVABLE TO SALES: PASS INVENTORY TO SALES: PASS
LONG TERM DEBT/EQUITY RATIO: FAIL ACCOUNTS RECEIVABLE TO SALES: PASS
"THE FOOL RATIO" (P/E TO GROWTH): PASS LONG TERM DEBT/EQUITY RATIO: PASS
AVERAGE SHARES OUTSTANDING: PASS "THE FOOL RATIO" (P/E TO GROWTH): PASS
SALES: PASS AVERAGE SHARES OUTSTANDING: PASS
DAILY DOLLAR VOLUME: PASS SALES: PASS
PRICE: PASS DAILY DOLLAR VOLUME: FAIL
INCOME TAX PERCENTAGE: FAIL PRICE: PASS
INCOME TAX PERCENTAGE: PASS

For a full detailed analysis using NASDAQ's Guru Analysis tool, click here

Since its inception, Validea's strategy based on Motley Fool has returned 579.47% vs. 194.03% for the S&P 500. For more details on this strategy, click here

About Motley Fool: Brothers David and Tom Gardner often wear funny hats in public appearances, but they're hardly fools -- at least not the kind whose advice you should readily dismiss. The Gardners are the founders of the popular Motley Fool web site, which offers frank and often irreverent commentary on investing, the stock market, and personal finance. The Gardners' "Fool" really is a multi-media endeavor, offering not only its web content but also several books written by the brothers, a weekly syndicated newspaper column, and subscription newsletter services.

About Validea: Validea is an investment research service 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.