The following are today's upgrades for Validea's Price/Sales Investor model based on the published strategy of Kenneth Fisher. This value strategy rewards stocks with low P/S ratios, long-term profit growth, strong free cash flow and consistent profit margins.
OSHKOSH CORP (OSK) is a mid-cap growth stock in the Auto & Truck Manufacturers industry. The rating according to our strategy based on Kenneth Fisher changed from 40% to 70% 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: Oshkosh Corporation is a designer, manufacturer and marketer of access equipment, specialty vehicles and truck bodies. The Company operates through four segments: Access Equipment, Defense, Fire & Emergency, and Commercial. The Access Equipment segment manufactures and markets aerial work platforms and telehandlers used in a variety of construction, industrial, institutional and general maintenance applications. The Defense segment manufactures and markets tactical vehicles, trailers, weapons system integration and supply parts and services, delivery vehicles, and snow removal vehicles. The Fire & Emergency segment manufactures and markets custom and commercial firefighting vehicles and equipment, Aircraft Rescue and Firefighting (ARFF) vehicles, simulators, mobile command and control vehicles and other emergency vehicles. The Commercial segment manufactures and markets refuse collection vehicles, concrete mixers, field service vehicles and truck-mounted cranes.
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.
| PRICE/SALES RATIO: | PASS |
| TOTAL DEBT/EQUITY RATIO: | PASS |
| PRICE/RESEARCH RATIO: | PASS |
| PRICE/SALES RATIO: | PASS |
| LONG-TERM EPS GROWTH RATE: | FAIL |
| FREE CASH PER SHARE: | FAIL |
| THREE YEAR AVERAGE NET PROFIT MARGIN: | FAIL |
Detailed Analysis of OSHKOSH CORP
ARLO TECHNOLOGIES INC (ARLO) is a small-cap growth stock in the Audio & Video Equipment industry. The rating according to our strategy based on Kenneth Fisher changed from 48% to 60% 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: Arlo Technologies, Inc. is engaged in combining the intelligent cloud infrastructure and mobile application with a range of smart connected devices, which transform the way people experience the connected lifestyle. The Company is engaged in product designing, wireless connectivity, cloud infrastructure and cutting-edge artificial intelligent (AI) capabilities focused on delivering a seamless, smart home experience for its users. The Company's products include Smart Connected Devices, Arlo Essential Indoor Camera, Arlo Go 2 LTE/Wi-Fi Security Camera, Arlo Q and Arlo Q Plus, Arlo Go, Arlo Baby, Arlo Chime, Arlo Ultra, Arlo Pro 3, Arlo Video Doorbell, Arlo Floodlight Camera, Arlo Essential Spotlight, Arlo Ultra 2 and Arlo Essential XL Spotlight. The Company's cloud-based platform provides users with visibility, insight means to help protect and connect in real-time with the people and things that matter, from any location with a wireless fidelity (Wi-Fi) or a cellular connection.
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.
| PRICE/SALES RATIO: | PASS |
| TOTAL DEBT/EQUITY RATIO: | PASS |
| PRICE/RESEARCH RATIO: | PASS |
| PRICE/SALES RATIO: | FAIL |
| LONG-TERM EPS GROWTH RATE: | FAIL |
| FREE CASH PER SHARE: | FAIL |
| THREE YEAR AVERAGE NET PROFIT MARGIN: | FAIL |
Detailed Analysis of ARLO TECHNOLOGIES INC
CHEWY INC (CHWY) is a large-cap growth stock in the Retail (Catalog & Mail Order) industry. The rating according to our strategy based on Kenneth Fisher changed from 48% to 60% 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: Chewy, Inc. is a pure play e-commerce company geared toward pet products for dogs, cats, fish, birds, small pets, horses, and reptiles. The Company's brands include A Pet Hub, A&E Cage Company, A Pet's Life, ABO Gear, Bark and Slumber, B&G Martin, C&S, KONG, Nutro, ORIJEN, NexGard, and Frisco. It offers a selection of quality pet food, treats and supplies, and pet healthcare products. The Company's product offerings include Food products such as dry food, wet food, veterinary diets, raw food; Treat products, such as soft and chewy treats, biscuits, cookies and crunchy treats, dental treats, jerky treats, bones, bully sticks and natural chews; Healthcare products such as Dental care, DNA Kits, Heartworm Prevention & Dewormers, Milk Replacers and Eye Care, and Vitamin and supplements, such as Hip & Joint, Digestive Health & Probiotics, Multivitamins, Anxiety & Calming, Heart & Liver. The Company serves its customers through its retail Website, www.chewy.com, and its mobile applications.
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.
| PRICE/SALES RATIO: | PASS |
| TOTAL DEBT/EQUITY RATIO: | PASS |
| PRICE/RESEARCH RATIO: | PASS |
| PRICE/SALES RATIO: | FAIL |
| LONG-TERM EPS GROWTH RATE: | FAIL |
| FREE CASH PER SHARE: | FAIL |
| THREE YEAR AVERAGE NET PROFIT MARGIN: | FAIL |
Detailed Analysis of CHEWY INC
More details on Validea's Kenneth Fisher strategy
About Kenneth Fisher: The son of Philip Fisher, who is considered the "Father of Growth Investing", Kenneth Fisher is a money manager, bestselling author, and longtime Forbes columnist. The younger Fisher wowed Wall Street in the mid-1980s when his book Super Stocks first popularized the idea of using the price/sales ratio (PSR) as a means of identifying attractive stocks. According to his alma mater, Humboldt State University, Fisher is also one of the world's foremost experts on 19th century logging. Appropriately, Fisher's firm, Fisher Investments, is located in a lush forest preserve in Woodside, California, where the contrarian-minded Fisher says he and his employees can get away from Wall Street groupthink.
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.
