Below is the Bloomberg Commodity Index (BCOM) from December 2015 to November 2020.
In the work that follows, we provide an updated view on the upside targets for the index. Continue reading
Posted in BCOM, Bloomberg Commodity Index, commodities, Dow Jones-UBS
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Below are the valuation targets for Becton, Dickinson and Co. (BDX) for the next 10 years. Continue reading
Below are the valuation targets for McCormick & Co. (MKC) for the next 10 years. Continue reading
Below is a chart of Intel Corp. (INTC) from 1981 to 2020 reflecting the year-over-year (YoY) percentage change.
Recently, we’ve seen some success applying the Coppock curve or indicator to individual companies. Could we scale this to an emerging market such as Nifty 50, a benchmark Indian stock market index? Running the data through this model reveals some exciting findings, so let’s dive into it.
The assumption we are working with is purchasing the Nifty 50 (^NSEI) when the Coppock issues a buy signal. The target holding periods are 1-3 years. Below are summary table showing important statistics such as success rate, largest loss or risk, average gain, and annualized return. Continue reading
Posted in Coppock Curve, Coppock Index, India, Nifty 50
In reviewing last year’s list, we see that the best strategy was the high P/B category which returned +5.90%, although the market propelled higher by +14.90%.
The largest gain was driven by Clorox (CLX) which, at the time, was trading at a staggering 33x of its book value. Now compare that with American National Insurance (ANAT) which was trading at 0.55x book value. The stock fell -31%.
On average, 3 stocks trading below book value lost -20% of its value in one year. This is the observation we see and simply reporting on the data. The table is a summary table for various strategies.
| November 15, 2019 | ||
| Strategy | High | Low |
| Yield | -23.6% | 4.7% |
| P/E | 1.1% | -30.9% |
| Payout Ratio |
-3.4% | -21.7% |
| P/B | 5.9% | -28.8% |
| Closest to Low |
3.4% | |
| S&P 500 |
14.9% | |
| Dow Jones Ind |
5.3% | |
| Top 5 companies except for Index | ||
Again, we continue to see the traditional value approach underperform.
U.S. Dividend Watch List: November 13, 2020
We saw another all-time high for the market this week. If the Dow Industrial and S&P 500 can consolidate and hold this level, it will be very bullish. This strong market is the reason why there are only 4 companies on our list. Continue reading
Posted in Dividend Achiever Watch List, Dividend Achievers, Dividend Watch List
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In the December 2019 Issue, Morningstar.com published their DividendInvestor which contains their Income Bellwether Watchlist. Below is the performance* of the stocks based on the top highest and lowest dividend yield from November 11, 2019 to November 11, 2020.
As the data continues to demonstrate, low yield generally outperforms high yield. This has been resoundingly shown in our Dogs of the Dow in the period from 1996 to 2019.
*United Technologies was excluded from the results.
see also:
Posted in Dogs of the Dow, Income Bellwethers, Morningstar
Below is a chart of investment returns for various instruments as published by Business Insider. This includes our own high P/E Dogs of the Toronto Stock Exchange 60.
see also:
Posted in Bitcoin, Dogs of the TSX, Index YTD, TSX 60
The following is the breakdown of the Dogs of the TSX (here) in week 48, compared to other fundamental ratios. Continue reading
Below is a chart of HDFC Bank Limited from 2001 to 2020 reflecting the year-over-year (YoY) percentage change. This assessment reviews the probability of performance in the coming year(s).
Below is a chart of ICICI Bank Limited from 2001 to 2020 reflecting the year-over-year (YoY) percentage change. This assessment reviews the probability of performance in the coming year(s).
Below is the Coppock Curve for Realty Income (O): Continue reading
Below is the Coppock Curve data for the following indexes as of the end of October 2020:
If you’re interested in a index not listed, let us know. Continue reading
On this date in 1620, the (Plymouth) Council for New England was chartered by the king of England as a joint stock company with monopoly rights on (found here):
“…all the Breadth aforesaid throughout the Maine Land, from Sea to Sea [emphasis ours], with all the Seas, Rivers, Islands, Creekes, Inletts, Ports, and Havens, within the Degrees…”
The profits should be derived from (found here):
“…the Firme Lands, Soyles, Grounds Havens, Ports, Rivers, Waters, Fishings, Mines, and Mineralls, as well Royall Mines of Gold and Silver, as other Mine and Mineralls, precious Stones, Quarries, and all, and singular other Comodities, Jurisdictions, Royalties, Priveliges, Franchises, and Preheminences…”
The payments of those profits should be paid to (found here):
“…Us [England’s Royalty], our Heires, our Successors, the fifth [20%] Part, of the Ores of Gold and Silver, which from time to time, and aft all times hereafter, shall happen to be found, gotten, had, and obtained, in or within any the said Lands, Limitts, Territoryes, and Precincts, or in or within any Part or Parcell thereof, for, or in Respect of all, and all Manner of Dutys, Demands, and Services whatsoever, to be done, made, or paid to Us, our Heires, and Successors.…”
By 1635, the charter for the Council of New England was revoked. However, within the time of the Council for New England’s existence, which later folded into the Massachusetts Bay Company and other corporate entities, the wheels of a new nation were put into motion.
Review last year’s list, we see that closest to the low was the best strategy which lost only 0.6%. The market, however, gained 6.6% since last year. Purchasing companies with low P/E or high dividend yield, a classic value approach, did not work out well.
| November 1, 2019 | ||
| Strategy | High | Low |
| Yield | -45.7% | -10.8% |
| P/E | -7.4% | -49.6% |
| Payout Ratio | -25.6% | -26.7% |
| P/B | -1.2% | -29.7% |
| Closest to Low | -0.6% | |
| S&P 500 | 6.6% | |
| Dow Jones Ind | -3.1% | |
| Top 5 companies except for Index |
||
Majority of the gained came from Clorox (CLX) gained 40.9% and CH Robinson (CHRW) gained 18.4%.
U.S. Dividend Watch List: October 9, 2020
The market pulled back from all-time high and consolidation period will be healthy for this up market to continue. The pull back pushed more companies closer to their yearly low.
Continue reading
Posted in Dividend Achiever Watch List, Dividend Achievers, Dividend Watch List
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