The Stingy News Weekly (05/22/2011)
| "Thousands of experts study overbought indicators, oversold
indicators, head-and-shoulder patterns, put-call ratios, the Fed's
policy on money supply, foreign investment, the movement of the
constellations through the heavens, and the moss on oak trees, and
they can't predict markets with any useful consistency, any more
than the gizzard squeezers could tell the Roman emperors when
the Huns would attack." | |
| - Peter Lynch | |
Stingy Links
In defence of the Shiller p/e
"It wasn't actually a new idea on Shiller's part. Ben Graham, the
value investor who was Warren Buffett's guru, had suggested a
similar measure, involving the averaging of profits over an
extended period to smooth out the effects of the economic cycle.
Investors were paying little attention in the late 1990s. As the
chart shows, the US market in the late 1990s was even more
overvalued than it was before the crash of 1929. This was not a welcome
message at the time when analysts talked of a 'new era' and even
speculated that the cycle had been abolished. But even though
the Shiller p/e accurately predicted that the market was overdue
for a fall, there are still many critics who today refuse to
accept its message."
Capitalists Who Fear Free Markets
"Japanese executives were outraged at the prospect of banks
taking losses on loans to the company that produced a nuclear
catastrophe. This used to be how free markets worked."
Is value compensation for distress risk?
"This study provides a comprehensive investigation of the
relation between the value anomaly and distress risk. Using risk
measures based on accounting models, structural models, credit spreads
and credit ratings, we find no relation between the value
premium and distress risk. Our findings are inconsistent with the
notion that the value effect is a compensation for distress risk."
DOW 30 Value Screens
| High Dividend Yield Stocks | P/E | P/B | P/S | Yield | | AT&T (T) | 5 | 5 | 3 | 5 |
| Verizon (VZ) | 1 | 3 | 5 | 5 |
| Merck (MRK) | 1 | 3 | 1 | 5 |
| Pfizer (PFE) | 1 | 4 | 2 | 5 |
| Johnson & Johnson (JNJ) | 3 | 2 | 1 | 5 |
| Kraft (KFT) | 1 | 5 | 4 | 5 |
| Intel (INTC) | 4 | 3 | 1 | 4 |
| EI DuPont (DD) | 3 | 1 | 3 | 4 |
| Procter & Gamble (PG) | 2 | 3 | 2 | 4 |
| General Electric (GE) | 3 | 4 | 4 | 4 |
| Notes | More Info... |
| Low Price/Earnings Stocks | P/E | P/B | P/S | Yield | | Travelers (TRV) | 5 | 5 | 4 | 3 |
| AT&T (T) | 5 | 5 | 3 | 5 |
| Hewlett-Packard (HPQ) | 5 | 4 | 5 | 1 |
| JP Morgan Chase (JPM) | 5 | 5 | 3 | 2 |
| Microsoft (MSFT) | 5 | 2 | 1 | 3 |
| Chevron (CVX) | 4 | 4 | 4 | 4 |
| Intel (INTC) | 4 | 3 | 1 | 4 |
| Exxon Mobil (XOM) | 4 | 3 | 4 | 2 |
| Wal-Mart (WMT) | 4 | 3 | 5 | 3 |
| Cisco (CSCO) | 4 | 4 | 2 | 1 |
| Notes | More Info... |
| Value Ratio Stocks | P/E | P/B | P/S | Yield | V.R. | | AT&T (T) | 5 | 5 | 3 | 5 | 1.62 |
| Travelers (TRV) | 5 | 5 | 4 | 3 | 3.27 |
| Chevron (CVX) | 4 | 4 | 4 | 4 | 3.32 |
| Intel (INTC) | 4 | 3 | 1 | 4 | 3.50 |
| Microsoft (MSFT) | 5 | 2 | 1 | 3 | 3.74 |
| JP Morgan Chase (JPM) | 5 | 5 | 3 | 2 | 4.17 |
| Johnson & Johnson (JNJ) | 3 | 2 | 1 | 5 | 4.38 |
| EI DuPont (DD) | 3 | 1 | 3 | 4 | 4.75 |
| Wal-Mart (WMT) | 4 | 3 | 5 | 3 | 4.76 |
| Coca-Cola (KO) | 4 | 1 | 1 | 3 | 4.87 |
| Notes | More Info... |
| US Stock Summary | Yield | P/E | V.R. | | AT&T (T) | Y | Y | Y |
| Intel (INTC) | Y | Y | Y |
| Chevron (CVX) | | Y | Y |
| EI DuPont (DD) | Y | | Y |
| JP Morgan Chase (JPM) | | Y | Y |
| Johnson & Johnson (JNJ) | Y | | Y |
| Microsoft (MSFT) | | Y | Y |
| Travelers (TRV) | | Y | Y |
| Wal-Mart (WMT) | | Y | Y |
| Cisco (CSCO) | | Y | |
| Coca-Cola (KO) | | | Y |
| Exxon Mobil (XOM) | | Y | |
| General Electric (GE) | Y | | |
| Hewlett-Packard (HPQ) | | Y | |
| Kraft (KFT) | Y | | |
| Merck (MRK) | Y | | |
| Pfizer (PFE) | Y | | |
| Procter & Gamble (PG) | Y | | |
| Verizon (VZ) | Y | | |
| Notes... |
S&P/TSX60 Value Screens
| High Dividend Yield Stocks | P/E | P/B | P/S | Yield | | Yellow Media (YLO) | 2 | 5 | 4 | 5 |
| Enerplus (ERF) | 1 | 5 | 1 | 5 |
| Enbridge (ENB) | 3 | 4 | 5 | 5 |
| BCE Inc. (BCE) | 3 | 3 | 4 | 5 |
| TransAlta (TA) | 4 | 4 | 4 | 5 |
| Sun Life Financial (SLF) | 5 | 5 | 5 | 5 |
| ARC Resources (ARX) | 1 | 2 | 1 | 5 |
| Bank of Montreal (BMO) | 5 | 4 | 3 | 5 |
| Shaw (SJR.B) | 2 | 1 | 3 | 5 |
| Penn West Petroleum (PWT) | 5 | 5 | 1 | 5 |
| Notes | More Info... |
| Low Price/Earnings Stocks | P/E | P/B | P/S | Yield | | Research In Motion (RIM) | 5 | 2 | 4 | 0 |
| Penn West Petroleum (PWT) | 5 | 5 | 1 | 5 |
| Inmet Mining (IMN) | 5 | 4 | 2 | 1 |
| Magna (MG) | 5 | 5 | 5 | 3 |
| Nexen (NXY) | 5 | 5 | 3 | 1 |
| Sun Life Financial (SLF) | 5 | 5 | 5 | 5 |
| Canadian Tire (CTC.A) | 5 | 5 | 5 | 3 |
| Bank of Montreal (BMO) | 5 | 4 | 3 | 5 |
| National Bank (NA) | 5 | 3 | 3 | 4 |
| Tim Hortons (THI) | 5 | 1 | 2 | 2 |
| Notes | More Info... |
| Value Ratio Stocks | P/E | P/B | P/S | Yield | V.R. | | Yellow Media (YLO) | 2 | 5 | 4 | 5 | 1.26 |
| Penn West Petroleum (PWT) | 5 | 5 | 1 | 5 | 1.98 |
| Sun Life Financial (SLF) | 5 | 5 | 5 | 5 | 2.26 |
| TransAlta (TA) | 4 | 4 | 4 | 5 | 2.50 |
| Enbridge (ENB) | 3 | 4 | 5 | 5 | 2.62 |
| Bank of Montreal (BMO) | 5 | 4 | 3 | 5 | 2.69 |
| BCE Inc. (BCE) | 3 | 3 | 4 | 5 | 3.09 |
| CIBC (CM) | 4 | 2 | 3 | 4 | 3.31 |
| Canadian Oil Sands (COS) | 4 | 1 | 2 | 4 | 3.39 |
| Power Corp of Canada (POW) | 4 | 5 | 5 | 4 | 3.64 |
| Notes | More Info... |
| Canadian Stock Summary | Yield | P/E | V.R. | | Bank of Montreal (BMO) | Y | Y | Y |
| Penn West Petroleum (PWT) | Y | Y | Y |
| Sun Life Financial (SLF) | Y | Y | Y |
| BCE Inc. (BCE) | Y | | Y |
| Enbridge (ENB) | Y | | Y |
| TransAlta (TA) | Y | | Y |
| Yellow Media (YLO) | Y | | Y |
| ARC Resources (ARX) | Y | | |
| CIBC (CM) | | | Y |
| Canadian Oil Sands (COS) | | | Y |
| Canadian Tire (CTC.A) | | Y | |
| Enerplus (ERF) | Y | | |
| Inmet Mining (IMN) | | Y | |
| Magna (MG) | | Y | |
| National Bank (NA) | | Y | |
| Nexen (NXY) | | Y | |
| Power Corp of Canada (POW) | | | Y |
| Research In Motion (RIM) | | Y | |
| Shaw (SJR.B) | Y | | |
| Tim Hortons (THI) | | Y | |
| Notes... |
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