Value Line Low Total Return Screen (5/24/2013)

Companies of Interest

Screening Criteria: (1) Included in the update universe for this week’s release by Value Line, (2) Return forecast at least 5% (percentage points) greater than the average return forecast and (3) MANIFEST quality rank (percentile) at least 60, i.e. all “Excellent” and “Good” companies in top two quintiles eligible.

Materially Stronger: Amerisource (ABC), Bruker (BRKR), Meridian Bioscience (VIVO), Navistar (NAV), Illumina (ILMN), Analogic (ALOG), Medical Action Industries (MDCI)

Materially Weaker: Cutera (CUTR)

Market Barometers

The Value Line low total return forecast is 6.5%, down from 6.7% last week.

Value Line Low Total Return Screen (2/22/2013)

We can’t help but take a closer look at the “dent” put in the long-term forecast for Landauer (LDR) — a recent favorite and a stock that we’ve featured in a number of venues. Is there any cause for concern or muted expectations?

The return forecasts for all of the electric utilities in this update are pretty weak and to yield chasers out there … don’t forget to keep total return expectations in your framework. We’ll take closer look at the electric utility industry also.

It was also nice to see long-time community favorite II-VI (IIVI) get a boost this week.

Materially Stronger: Badger Meter (BMI), Cooper (COO), Cutera (CUTR), Idexx Labs (IDXX), Two Six II-VI (IIVI), Manitowac (MTW), Newport (NEWP), Oshkosh (OSK), Toyota Motors ( TM )

Materially Weaker: Excelon (EXC), First Energy (FE), Landauer (LDR), PPL (PPL)

Market Barometers

The Value Line low total return (VLLTR) forecast held steady at 7.3% this week.