Now, let us take a look at the most recent numbers that were reported on the 8-K report. On a GAAP basis, fourth-quarter earnings per share of $0.41 increased 37 percent and full-year earnings per share of $1.40 increased 32 percent. For the year ended December 31, 2016, fourth-quarter net sales increased 12 percent to $1.58 billion and full-year net sales increased 5 percent to $6.03 billion. These are very healthy numbers and could indicate that the future looks well for the company, but more research is certainly needed to determine that.
Now, taking a look at the chart using the monthly time frame, we can see that price is coming of the highs on a steady downtrend. This might be due to a few reason that include the stock is overvalued, price does not match performance, or people are simply taking profits off the table. If you’re looking to invest, I would do the research to determine why price is falling and if this provides an entry opportunity at a discounted price. Yes the price is slowly decreasing, but nothing stands out as a red flag.
Valuation Drivers Correlation
|Time Horizon||30 Days Login to change|