Taking GAAP Earnings at Face Value Puts Investors at Risk
The more investors understand about how GAAP net income omits valuable information, the better equipped they are to find truly hidden gems, or those companies with growing economic earnings and undervalued stock prices.
ICYMI: New Long Idea, Alpha-generating Forensic Accounting, a Bad Acquisition, & Model Portfolio Updates
Here’s what happened at New Constructs this past week.
Exec Comp Aligned With ROIC Model Portfolio: September 2017
Platinum Members and higher can access September’s Executive Compensation Aligned With ROIC Model Portfolio as of Friday, September 15.
New Feature: Get Details for Stocks in Model Portfolios
Unlimited & Institutional clients can now view the ratings and adjustments details for all tickers in Model Portfolios
How Accounting Adjustments Contribute to Alpha Generation
New Constructs’ proprietary forensic accounting research empowers investors to identify alpha-generating investment ideas more efficiently than traditional manual approaches. This report highlights investment ideas based on insights our research technology automatically provides on a firm’s true return on invested capital (ROIC) and economic earnings.
New Feature: More Details for ETF Ratings
Clients can now view the “Investment Recommendation Summary” and the “Rating History” for all ETFs under coverage.
Podcast: Why Lion’s Gate Entertainment Is in the Danger Zone
CEO David Trainer sat down with Chuck Jaffe of Money Life and to talk about our Danger Zone pick this past week: Lion’s Gate Entertainment (LGF.A)
United Technologies Overpaid for Rockwell Collins
Simply put, the price UTX will pay for this acquisition – which comes to ~$33 billion when accounting for all forms of debt and unfunded pension liabilities – makes it almost impossible for the deal to create long-term value for shareholders.
New Stocks in Most Attractive/Most Dangerous: September 2017
Our Most Attractive Stocks (-3.6%) underperformed the S&P 500 (-0.6%) and our Most Dangerous Stocks (-2.0%) outperformed the S&P 500 (-0.6%) as a short portfolio last month. See two of the additions to this month’s model portfolio.
This Diamond Still Shines in the Rough Retail Sector
This firm has proven its ability to succeed in a market where many competitors are fighting for survival. The firm’s efficient distribution of off-price luxury brands to value conscious consumers has proven to be a resilient strategy during the current period of retail disruption.
ICYMI: Most Attractive & Most Dangerous Stocks Update, Earnings “Recovery” Still an Illusion & Special Offer
Here’s what happened at New Constructs this past week.
New Stocks in August’s Dividend Growth Model Portfolio
The portfolio’s best-performing stocks last month were large cap stocks Red Electrica Corporacion SA (RDEIY) and The TJX Companies, Inc. (TJX), which were up 6% and 4%, respectively. Get a look at one of the new stocks in August’s Model Portfolio.
The Earnings Recovery Remains an Illusion
Our analysis of the latest 10-K and 10-Q filings for the S&P 500 shows that the GAAP earnings growth in the market has not translated to an increase in economic earnings.
Most Attractive Stocks Model Portfolio: September 2017
Gold Members and higher can access September’s 40 Most Attractive Stocks as of Thursday, September 7.
Most Dangerous Stocks Model Portfolio: September 2017
Gold Members and higher can access September’s 40 Most Dangerous Stocks as of Thursday, September 7.
Special Offer: Safest Dividend Yields Model Portfolio For $9.99
Just this month, we’re giving you this month’s Safest Dividend Yields Model Portfolio for only $9.99.
ICYMI: Dividend Model Portfolio Updates, Tech Laggard in the Danger Zone, & Long Idea Update
Here’s what happened at New Constructs this past week.
Dividend Growth Stocks Model Portfolio: August 2017
Platinum Members and higher can access July’s Dividend Growth Stocks Model Portfolio as of Thursday, August 31.
Position Update: Knoll, Inc. (KNL)
While our original thesis has proven too optimistic in the short run due to the industry slowdown, we believe KNL remains best positioned to benefit from the expected improvement in 2H17 industry trends.
Podcast: Why Carbonite Is In The Danger Zone
CEO David Trainer sat down with Chuck Jaffe of Money Life and to talk about our Danger Zone pick this past week: Carbonite (CARB).