Fave Five (3/24/2017)
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 7.8%.
This week we went shopping for study opportunities using Finviz.com. Using the target price function, the hunt was on for companies with huge 52-week total return expectations. It’s part Matt Spielman rummaging in the speculative attic, part Broad Assets investment club scouring the launch pad and part minefield.
The Fave Five This Week
- AmTrust Financial (AFSI)
- ConnectOne Bancorp (CNOB)
- Gulfport Energy (GPOR)
- Horizon Pharma (HZNP)
- Synchronoss Technology (SNCR)
The Long and Short of This Week’s Fave Five
The Long & Short. (March 24, 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 +0.6% since inception. (The absolute rate of return is 15.9%.) 47.5% of selections have outperformed the Wilshire 5000 since original selection.
Tracking Dashboard: https://www.manifestinvesting.com/dashboards/public/fave-five