Fave Five (6/2/2017)

Fave Five (6/2/2017)

Our Fave Five essentially represents a listing of stocks with favorable short term total return forecasts (1 year, according to Analyst Consensus Estimates, or ACE) combined with strong long-term return forecasts and good/excellent quality rankings. The average 1-year ACE total return forecast is 9.7%.

The Fave Five This Week

  • Akamai Technologies (AKAM)
  • Bank of the Internet (BOFI)
  • FleetCor Technologies (FLT)
  • Tractor Supply (TSCO)
  • Western Gas Partners (WES)

The Long and Short of This Week’s Fave Five

The Long & Short. (June 2, 2017) Projected Annual Return (PAR): Long term return forecast based on fundamental analysis and five year time horizon. Quality Ranking: Percentile ranking of composite that includes financial strength, earnings stability and relative growth & profitability. VL Low Total Return (VLLTR): Low total return forecast based on 3-5 year price targets via Value Line Investment Survey. Morningstar P/FV: Ratio of current price to fundamentally-based fair value via www.morningstar.com S&P P/FV: Current price-to-fair value ratio via Standard & Poor’s. 1-Year ACE Outlook: Total return forecast based on analyst consensus estimates for 1-year target price combined with current yield. The data is ranked (descending order) based on this criterion. 1-Year S&P Outlook: 1-year total return forecast based on S&P 1-year price target. 1-Yr GS: 1-year total return forecast based on most recent price target issued by Goldman Sachs.

Fave Five Legacy (Tracking Portfolio)

The relative/excess return for the Fave Five tracking portfolio is +1.1% since inception. 44.9% of selections have outperformed the Wilshire 5000 since original selection.

Tracking Dashboard: https://www.manifestinvesting.com/dashboards/public/fave-five

Sell Michael Kors (KORS)

KORS has now dropped more than 20% more than the market (Wilshire 5000, VTSMX) since it was added via the Fave Five on 1/19/2017.

Kors relative return 20170602

Hot Seat: Deckers Outdoors (DECK)

Deckers (DECK) has performed very well since selection back on 10/27/2016, beating the Wilshire 5000 by +27.3% but it lands on the “hot seat” by virtue of its torrid performance.

Fave five worksheet 20170601

The decision is made “to take the money and run” and sell Deckers (DECK) based on this audit of current conditions.

Deck analysis 20170601

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