March 23, 2019 at 11:45 pm

Corby Spirit and Wine Limited (CSW.A.TO) PI Quant Signal Hits 0.973416

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The Price Index is a ratio that indicates the return of a share price over a past period. The price index of Corby Spirit and Wine Limited (CSW.A.TO) for last month was 0.973416 while the 3m is at 1.04457. This is calculated by taking the current share price and dividing by the share price at the specifiied time frame mentioned. If the ratio is greater than 1, then that means there has been an increase in price over that timeframe. If the ratio is less than 1, then we can determine that there has been a decrease in price. Similarly, investors look up the share price over 12 month periods. The Price Index 12m for Corby Spirit and Wine Limited (CSW.A.TO) is 0.962213. The Price Index 5Y stands at 1.221361.

Dealing with the ups and down of the stock market is something that most investors will encounter at some point. Everyone wants to feel that thrill of seeing that big winner soar, and nobody wants to see that loser keep sinking. Figuring out how to best approach the stock market can take up a lot of time and energy. There are many strategies that investors can use when purchasing stocks for the portfolio. Some of these strategies may be riskier than others. Determining a comfortable level of risk appetite may be highly important for the individual investor. It is important to remember that there are no guarantees in the stock market. New investors may have to learn that there is rarely any substitute for hard work and tireless research. Many investors jump in head first and find this out the hard way. Realizing that there is no guaranteed strategy for stock picking might help the investor stay focused and grounded while building up the portfolio. 

Looking at some ROIC (Return on Invested Capital) numbers, Corby Spirit and Wine Limited (CSW.A.TO)’s ROIC is
0.389392. The ROIC 5 year average is 0.480699. ROIC is a profitability ratio that measures the return that an investment generates for those providing capital. ROIC helps show how efficient a firm is at turning capital into profits.

Corby Spirit and Wine Limited (CSW.A.TO) has a Price to sales ratio of 3.435917. Investors may use Price to Book to display how the market portrays the value of a stock. Checking in on some other ratios, the company has a Price to Cash Flow ratio of 17.79558, and a current Price to Earnings ratio of 18.875. The P/E ratio is one of the most common ratios used for figuring out whether a company is overvalued or undervalued.

Checking in on some valuation rankings, Corby Spirit and Wine Limited (CSW.A.TO) has a Value Composite score of 31. Developed by James O’Shaughnessy, the VC score uses five valuation ratios. These ratios are price to earnings, price to cash flow, EBITDA to EV, price to book value, and price to sales. The VC is displayed as a number between 1 and 100. In general, a company with a score closer to 0 would be seen as undervalued, and a score closer to 100 would indicate an overvalued company. Adding a sixth ratio, shareholder yield, we can view the Value Composite 2 score which is currently sitting at 24.

Watching some historical volatility numbers on shares of Corby Spirit and Wine Limited (CSW.A.TO), we can see that the 12 month volatility is presently 16.6937. The 6 month volatility is 21.5746, and the 3 month is spotted at 19.9682. Following volatility data can help measure how much the stock price has fluctuated over the specified time period. Although past volatility action may help project future stock volatility, it may also be vastly different when taking into account other factors that may be driving price action during the measured time period. 

based on value factors. He didn’t have databases such as ValueSignals at his disposal, but used people like his apprentice Warren Buffet to fill out stock sheets with the most important data.

Graham was always on the watch for firms that were so discounted, that if the company went into liquidation, the proceeds of the assets would still return a profit.

The ratio he used to identify these companies was Net Current Asset Value or NCAV. This ratio is much more stringent compared to book value (total assets – total liabilities) and is calculated as follows:

NCAV = Current Assets – Total Liabilities
Current Assets = Cash & ST Investments + Inventories + Accounts Receivable
Graham was only happy if he could buy the company at 2/3 of the NCAV. That’s the sort of margin of safety he was looking for.

This strategy was very successful during the years after Graham published it in his book ‘Security analysis’ in 1934 and also in more recent studies it has proven to provide superior results. A study done by the State University of New York to prove the effectiveness of this strategy showed that from the period of 1970 to 1983 an investor could have earned an average return of 29.4%, by purchasing stocks that fulfilled Graham’s requirement and holding them for one year. Nowadays it’s very difficult to find companies that meet Graham’s criteria.

We calculate NCAV to Market as follows:

NCAV-to-Market Ratio = NCAV divided by Market Cap

Corby Spirit and Wine Limited (CSW.A.TO) has an NCAV to Market value of 0.211973.

Book to Market

Corby Spirit and Wine Limited (CSW.A.TO) has a book to market ratio of 0.336269. A ratio used to find the value of a company by comparing the book value of a firm to its market value. Book value is calculated by looking at the firm’s historical cost, or accounting value. Market value is determined in the stock market through its market capitalization.

Formula:

Book-to-Market Ratio= Common Shareholders Equity/Market Cap

Most investors are more familiar with P/B or Price-to-book. This is just the inverted value.

Price-to-Book Ratio=Market Cap/Common Shareholders Equity

Cash Flow on Capex

Another ratio S&P Analyst Richard Tortoriello recommends to use is ‘Operating Cash Flow to capital expenditure’. (‘Quantitative Strategies for Achieving Alpha’) This ratio is used by analysts to determine a company’s ability to fund operations. It helps to get a better understanding of whether a company is able to buy more assets without having to issue debt or equity.

A rising cash flow to capital expenditures ratio might indicate that the company is in a position to grow.

Please note that some industries are more capital intensive than others, which should be taken into account when evaluating companies.

Formula:

Cash flow on Capex = Cash Flow from Operations / Capital Expenditure

The Cash Flow on Capex for Corby Spirit and Wine Limited (CSW.A.TO) is 6.215266.

Investors are typically searching far and wide for any little advantage they can get in the stock market. Short-term traders using technical analysis may be looking to score quick profits by capitalizing on the fluctuations of stock prices. There are many different technical indicators that traders can choose to study. Some traders may find an indicator that works great by itself. Others may use a combination of multiple indicators to help spot trends and patterns. Many active traders will keep a close eye on a particular stock when it is nearing a new high or new low that hasn’t been touched in some time. Studying historical stock price action may lend some insight into whether or not a stock is likely to break out past the new high, or plummet further to a much lower low. Staying on top of the action may be crucial when frequently entering and exiting trades.