At www.ValuEngine.com we show that the Consumer Discretionary sector 6.5% overvalued with the Broadcasting Radio/TV industry 3.0% overvalued. All 12 stocks in today’s table have complete ValuEngine data and have enough price data to have most value levels, risky levels and pivots.
Beasley Broadcast Group Inc. (BBGI) – has been below $9.50 for at least five years.
Belo Corp. (BLC) – has been below $10 since the week of May 30, 2008.
Central European Media Enterprises Ltd. (CETV) – was a $125 stock in November 2007 and has been below $10 since May 2, 2012.
Cumulus Media Inc. (CMLS) – had been below $10 since the week of November 23, 2007.
Entercom Communications Corp. (ETM) – has been below $10 since the week of May 20, 2011.
Entravision Communications Corp. (EVC) – has been below $10 since the week of November 2, 2007.
Phoenix New Media Limited (FENG) – has been below $10 since the week of August 12, 2011.
Gray Television Inc. (GTN) – has been below $10 since the week of October 19, 2007.
Multiband Corporation (MBND) – has been below $6.75 for at least five years.
Salem Communications Corp. (SALM) – has been below $10 since the week of September 28, 2007.
SIRIUS XM Radio Inc. (SIRI) – has only been below $4.30 for at least five years.
ValueVision Media Inc. (VVTV) – has been below $10 since the week of August 17, 2007.
Reading the Table
OV / UN Valued – The stocks with a red number are undervalued by this percentage. Those with a black number are overvalued by that percentage according to ValuEngine. The most undervalued stock is VVTV by 54.1%. The most overvalued stock is SIRI by 67.1%.
VE Rating – A “1-Engine” rating is a Strong Sell, a “2-Engine” rating is a Sell, a “3-Engine” rating is a Hold, a “4-Engine” rating is a Buy and a “5-Engine” rating is a Strong Buy. Ten stocks are rated Hold, while two are Sell rated.
Last 12-Month Return (%) – Stocks with a Red number declined by that percentage over the last twelve months. Stocks with a Black number increased by that percentage over the past twelve months! The biggest winner over the last twelve months is SALM with a gain of 118.5%. The biggest loser was FENG with a loss of 48.5%.
Forecast 1-Year Return – Stocks with a Red number are projected to decline by that percentage over the next twelve months. Stocks with a Black number in the Table are projected to move higher by that percentage over the next twelve months. The upside is limited to 4.2% for SIRI with the downside risk at 8.9% for MBND.
P/E Ratios – Three stocks have single-digit twelve month trailing P/E ratios (BBGI, BLC & GTN). CMLS, MBND & SIRI have elevated P/E ratios.
Value Level: is the price at which to enter a GTC Limit Order to buy on weakness. The letters mean; W-Weekly, M-Monthly, Q-Quarterly, S-Semiannual and A- Annual.
Pivot: A level between a value level and risky level that acts as a magnet during the time frame noted.
Risky Level: is the price at which to enter a GTC Limit Order to sell on strength.
Where to Buy and Where to Sell
A “Value Level” is a price at which buyers should add to positions on market price weakness. A “Risky Level” is a price at which sellers should reduce holdings on market price gains. A “Pivot” is a support or resistance (Value Level or Risky Level) that was violated in its time horizon, acting as a magnet during the remainder of that time horizon. These levels are calculated in weekly (W), monthly (M), quarterly (Q), semiannual (S) and annual (A) time horizons, based on the past nine closes in each time horizon. My theory is that the closes over a nine-year period are the summation of all bullish and bearish events for that market or specific stock. These levels are the most important element of my Buy and Trade Strategy.
Buy and Trade Guidelines
Investors should consider entering good until cancelled (GTC) orders to buy weakness to a value level, or to sell strength to a risky level.