The following are today's upgrades for Validea's Value Investor model based on the published strategy of Benjamin Graham. This deep value methodology screens for stocks that have low P/B and P/E ratios, along with low debt and solid long-term earnings growth.
WEIS MARKETS, INC. (WMK) is a small-cap growth stock in the Retail (Grocery) industry. The rating according to our strategy based on Benjamin Graham changed from 71% to 86% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Weis Markets, Inc. is principally engaged in the retail sale of food in Pennsylvania and surrounding states. The Company's retail food stores sell groceries, dairy products, frozen foods, meats, seafood, fresh produce, floral, pharmacy services, deli products, prepared foods, bakery products, beer and wine, fuel and general merchandise items, such as health and beauty care and household products. The store product selection includes national, local and private brands, including natural, gluten-free and organic varieties. It advertises its products and promotes its brand through digital and printed circulars; television ads; radio ads; e-mail blasts, and on-line via its Website, social media and mobile applications. The Loyalty program includes reward points that may be redeemed for discounts on items in store, at the Company's fuel stations or at one of its third-party fuel station partners. It owns and operates 197 retail food stores, many of which have online order customer service.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
| SECTOR: | PASS |
| SALES: | PASS |
| CURRENT RATIO: | PASS |
| LONG-TERM DEBT IN RELATION TO NET CURRENT ASSETS: | PASS |
| LONG-TERM EPS GROWTH: | PASS |
| P/E RATIO: | FAIL |
| PRICE/BOOK RATIO: | PASS |
Detailed Analysis of WEIS MARKETS, INC.
LA-Z-BOY INC (LZB) is a small-cap value stock in the Furniture & Fixtures industry. The rating according to our strategy based on Benjamin Graham changed from 71% to 86% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: La-Z-Boy Incorporated is a global producer of reclining chairs and the manufacturer/distributor of residential furniture in the United States. The Company manufactures, markets, imports, exports, distributes and retails upholstery furniture products under the La-Z-Boy, England, Kincaid, and Joybird tradenames. Its segments include the Wholesale segment and the Retail segment. Its Retail segment primarily sells upholstered furniture, in addition to some casegoods and other home furnishing accessories, to end consumers through its Company-owned La-Z-Boy Furniture Galleries stores. Its Wholesale segment manufactures and imports upholstered and casegoods (wood) furniture and sells directly to La-Z-Boy Furniture Galleries stores, operators of La-Z-Boy Comfort Studio locations, branded space locations, England Custom Comfort Center locations, dealers, and a cross-section of other independent retailers. It sells its products through multiple channels to furniture retailers or distributors.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
| SECTOR: | PASS |
| SALES: | PASS |
| CURRENT RATIO: | FAIL |
| LONG-TERM DEBT IN RELATION TO NET CURRENT ASSETS: | PASS |
| LONG-TERM EPS GROWTH: | PASS |
| P/E RATIO: | PASS |
| PRICE/BOOK RATIO: | PASS |
Detailed Analysis of LA-Z-BOY INC
About Benjamin Graham: The late Benjamin Graham may be the oldest of the gurus we follow, but his impact on the investing world has lasted for decades after his death in 1976. Known as both the "Father of Value Investing" and the founder of the entire field of security analysis, Graham mentored several of history's greatest investors -- including Warren Buffett -- and inspired a slew of others, including John Templeton, Mario Gabelli, and another of Validea's gurus, John Neff. Graham built his fortune and reputation after living through some extremely difficult times, including both the Great Depression and his own family's financial woes following his father's death when Benjamin was a young man. His investment firm posted per annum returns of about 20 percent from 1936 to 1956, far outpacing the 12.2 percent average return for the market during that time.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
