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February 6, 2017

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VALUATION WARNING: Overvalued stocks now make up 65.50% of our


stocks assigned a valuation and 29.24% of those equities are calculated to
be overvalued by 20% or more. Fifteen sectors are calculated to be
overvalued.

MARKET OVERVIEW

Index Started week Friday PM Change Change % ytd


DJIA 20028.62 20054.03 25.41 0.13% 1.47%
NASDAQ 5635.86 5657.48 21.62 0.38% 5.10%
RUSSELL 2000 1369.49 1373.13 3.64 0.27% 1.18%
S&P 500 2286.01 2296.27 10.26 0.45% 2.57%

Summary of VE Stock Universe


Stocks Undervalued 34.50%
Stocks Overvalued 65.50%
Stocks Undervalued by 20% 13.83%
Stocks Overvalued by 20% 29.24%
SECTOR OVERVIEW
Sector Change MTD YTD Valuation Last 12-M P/E
Return Ratio
Aerospace 0.08% 0.09% 2.55% 11.83% overvalued 29.89% 19.98
Auto-Tires-Trucks -0.71% -0.29% 1.54% 7.98% overvalued 42.84% 14.69
Basic Materials 0.24% 1.12% 9.29% 8.86% overvalued 93.03% 27.31
Business Services -0.14% -0.32% 1.09% 12.05% overvalued 18.65% 23.62
Computer and Technology -0.35% -0.07% 4.41% 13.36% overvalued 26.99% 30.13
Construction -0.42% -0.16% 1.67% 6.29% overvalued 39.71% 20.78
Consumer Discretionary -0.10% -0.12% 1.44% 4.09% overvalued 23.63% 24.81
Consumer Staples 0.29% 0.35% 1.77% 8.76% overvalued 14.89% 23.93
Finance -0.03% 0.01% 1.59% 14.41% overvalued 25.53% 18
Industrial Products -0.64% -0.15% 2.73% 21.48% overvalued 37.40% 24.62
Medical -0.29% 0.37% 4.58% 2.56% undervalued 8.31% 27.39
Multi-Sector Conglomerates -0.21% -0.09% 2.81% 16.38% overvalued 30.65% 19.7
Oils-Energy 0.24% 0.52% 3.28% 9.92% overvalued 48.91% 28.19
Retail-Wholesale 0.20% 0.03% -1.81% 0.35% undervalued 11.13% 22.9
Transportation -0.72% -0.75% 3.93% 7.78% overvalued 32.27% 19.76
Utilities 0.16% -0.92% 1.24% 12.36% overvalued 20.33% 22.74

Sector TalkIndustrial Products


Below, we present the latest data on leading Industrial Products Sector stocks
from our Professional Stock Analysis Service. We applied some basic liquidity
criteria--share price greater than $3 and average daily volume in excess of 100k
shares. We have been following the sector closely of late because it has been
correlated so tightly to overall equity price moves.

Top-Five Industrial Products Sector Stocks--Short-Term Forecast Returns


Ticker Company Name Market Price Valuation Last 12-M Retrn
OI OWENS-ILLINOIS 19.34 -3.57% 60.36%
NNBR NN INC 18.8 15.00% 70.75%
BDC BELDEN INC 76.52 13.32% 93.43%
WOR WORTHINGTON IND 47.9 1.19% 65.97%
ACCO ACCO BRANDS CP 12.65 46.02% 116.61%
Top-Five Industrial Products Sector Stocks--Long-Term Forecast Returns
Ticker Company Name Market Price Valuation Last 12-M Retrn
TWI TITAN INTL INC 12.75 29.95% 348.94%
CENX CENTURY ALUM CO 15.47 67.02% 280.10%
JOY JOY GLOBAL INC 28.12 19.78% 190.50%
WATT ENERGOUS CORP 15.42 N/A 164.04%
QUAD QUAD GRAPHICS 25.72 N/A 163.25%

Top-Five Industrial Products Sector Stocks--Composite Score


Ticker Company Name Market Price Valuation Last 12-M Retrn
OI OWENS-ILLINOIS 19.34 -3.57% 60.36%
WOR WORTHINGTON IND 47.9 1.19% 65.97%
BDC BELDEN INC 76.52 13.32% 93.43%
IR INGERSOLL RAND 78 9.36% 59.84%
PKG PACKAGING CORP 93.37 12.67% 87.08%

Top-Five Industrial Products Sector Stocks--Most Overvalued


Ticker Company Name Market Price Valuation Last 12-M Retrn
MTW MANITOWOC INC 6.29 300.00% -58.48%
DXPE DXP ENTERPRISES 37.64 170.49% 156.93%
TEX TEREX CORP 31.75 69.43% 47.33%
CENX CENTURY ALUM CO 15.47 67.02% 280.10%
GTLS CHART INDUSTRIE 39.01 65.54% 156.98%

Find out what Wall Street Investment and Media Professionals already know,
ValuEngine offers sophisticated stock valuation and forecast research as well as a
variety of portfolio screening and creation tools.
Free Download for Readers
As a bonus to our Free Weekly Newsletter subscribers,
we are offering a FREE DOWNLOAD of one of our Stock Reports
Macy's (M) is one of the nation's premier retailers, operating about 885 stores in 45
states, the District of Columbia, Guam and Puerto Rico, under the names of Macy's,
Bloomingdale's, Bloomingdale's Outlet and Bluemercury, as well as the macys.com,
bloomingdales.com and bluemercury.com websites. Prior to June 1, 2007, Macy's was
known as Federated Department Stores.
VALUENGINE RECOMMENDATION: ValuEngine continues its HOLD recommendation
on MACYS INC for 2017-02-02. Based on the information we have gathered and our
resulting research, we feel that MACYS INC has the probability to ROUGHLY MATCH
average market performance for the next year. The company exhibits ATTRACTIVE
P/E Ratio but UNATTRACTIVE Momentum.

You can download a free copy of detailed report on Macy's (M) from the link below.
Read our Complete Detailed Valuation Report on Macy's (M) HERE.

ValuEngine Forecast
Target Expected
Price* Return
1-Month 30.75 0.11%
3-Month 30.85 0.43%
6-Month 30.14 -1.88%
1-Year 31.13 1.34%
2-Year 32.06 4.37%
3-Year 28.03 -8.74%
Valuation & Rankings
Valuation 8.80% undervalued Valuation Rank(?) 78
1-M Forecast Return 0.11% 1-M Forecast Return Rank 59
12-M Return -24.89% Momentum Rank(?) 13
Sharpe Ratio -0.09 Sharpe Ratio Rank(?) 40
5-Y Avg Annual Return -2.63% 5-Y Avg Annual Rtn Rank 40
Volatility 29.36% Volatility Rank(?) 55
Expected EPS Growth 0.32% EPS Growth Rank(?) 19
Market Cap (billions) 10.46 Size Rank 90
Trailing P/E Ratio 9.78 Trailing P/E Rank(?) 94
Forward P/E Ratio 9.75 Forward P/E Ratio Rank 86
PEG Ratio 30.72 PEG Ratio Rank 1
Price/Sales 0.40 Price/Sales Rank(?) 88
Market/Book 2.76 Market/Book Rank(?) 42
Beta 0.81 Beta Rank 51
Alpha -0.44 Alpha Rank 10

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