At www.ValuEngine.com we show that the Consumer Staples sector is 14.0% overvalued with the Food – Meat Products industry 12.2% undervalued and the Food-Miscellaneous / Diversified industry 10.3% overvalued. All nine of the stocks in today’s table have complete ValuEngine data and have enough price data to have most value levels, risky levels and pivots.
Feihe International, Inc. (ADY) – has been below $10 since the week of June 3, 2011.
Chiquita Brands International Inc. (CQB) – has only been below $10 since March 1, 2012.
Crumbs Bake Shop, Inc. (CRMB) – has been below $10 since the week of August 19, 2011.
Lifeway Foods Inc. (LWAY) – has only been below $10 since August 30, 2012.
Omega Protein Corp. (OME) – has been below $10 since the week of November 18, 2011.
Pilgrim’s Corp. (PPC) – has been below $10 since the week of May 14, 2010.
Inventure Foods, Inc. (SNAK) – traded below $5 until March 30, 2012 trading up to $7.74 on July31, 2012.
SunOpta Inc. (STKL) – has been below $10 since the week of January 25, 2008.
Synutra International Inc. (SYUT) – was above $50 in September 2008 and has been below $10 since the week of July 22, 2011.
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 overvalued stock in today’s table is SNAK overvalued by 23.3%. The most undervalued is SYUT by 57.0%.
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. Today we have four Buy rated stocks and five Hold rated stocks.
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 gainer over the past twelve months is ADY higher by 186.3%. The biggest loser is CRMB with a loss of 62.4%.
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. Four stocks are projected to be slightly lower twelve months from now. The projected biggest gainer is CRMB with a gain of 16.7%.
P/E Ratios – ADY has a single digit twelve month P/E ratio, while LWAY has an elevated twelve month trailing P/E ratio.
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 should be 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.