Latest news with #midcap
Yahoo
2 days ago
- Business
- Yahoo
Is The Weir Group PLC (LON:WEIR) Potentially Undervalued?
The Weir Group PLC (LON:WEIR), might not be a large cap stock, but it saw a significant share price rise of 22% in the past couple of months on the LSE. The company is now trading at yearly-high levels following the recent surge in its share price. As a mid-cap stock with high coverage by analysts, you could assume any recent changes in the company's outlook is already priced into the stock. However, could the stock still be trading at a relatively cheap price? Let's examine Weir Group's valuation and outlook in more detail to determine if there's still a bargain opportunity. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. The stock seems fairly valued at the moment according to our valuation model. It's trading around 6.67% above our intrinsic value, which means if you buy Weir Group today, you'd be paying a relatively fair price for it. And if you believe that the stock is really worth £22.74, there's only an insignificant downside when the price falls to its real value. Is there another opportunity to buy low in the future? Since Weir Group's share price is quite volatile, we could potentially see it sink lower (or rise higher) in the future, giving us another chance to buy. This is based on its high beta, which is a good indicator for how much the stock moves relative to the rest of the market. View our latest analysis for Weir Group Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Although value investors would argue that it's the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With profit expected to grow by 25% over the next couple of years, the future seems bright for Weir Group. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation. Are you a shareholder? It seems like the market has already priced in WEIR's positive outlook, with shares trading around its fair value. However, there are also other important factors which we haven't considered today, such as the track record of its management team. Have these factors changed since the last time you looked at the stock? Will you have enough conviction to buy should the price fluctuates below the true value? Are you a potential investor? If you've been keeping tabs on WEIR, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the optimistic prospect is encouraging for the company, which means it's worth further examining other factors such as the strength of its balance sheet, in order to take advantage of the next price drop. It can be quite valuable to consider what analysts expect for Weir Group from their most recent forecasts. At Simply Wall St, we have the analysts estimates which you can view by clicking here. If you are no longer interested in Weir Group, you can use our free platform to see our list of over 50 other stocks with a high growth potential. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Telegraph
3 days ago
- Business
- Telegraph
This trust has increased shareholder payouts at more than triple the rate of inflation
Questor is The Telegraph's stock-picking column, helping you decode the markets and offering insights on where to invest. Investors in the UK's small and mid-cap companies have endured a sustained period of truly abysmal performance. Having reached all-time highs in 2021, the FTSE 250 and FTSE Small-Cap indices subsequently slumped and currently trade 13pc and 9pc below their respective peaks. By contrast, the FTSE 100 index reached a new record high this year and currently trades just 2pc below it. In Questor's view, however, small and mid-cap stocks are now poised for a comeback. The UK economy's long-term outlook is becoming increasingly upbeat, with inflation due to fall to the Bank of England's 2pc target following a temporary rise in the short run. This should allow for a brisk pace of interest rate cuts that boost the economy's performance and create operating conditions that are more conducive to profit growth. Since small and mid-cap companies listed in the UK typically have significantly greater exposure to the domestic economy than their larger peers, they are likely to be the biggest beneficiaries of an improving economic outlook – and trading on dirt-cheap valuations after their recent demise, we are highly optimistic about their prospects over the long run. As a result, the JPMorgan UK Small Cap Growth & Income investment trust becomes the latest addition to our income portfolio. Although it has a rather humdrum historic yield of 3.1pc, its prospective income return currently amounts to roughly 4.4pc as a result of an updated policy that aims to pay 4pc of net assets as a dividend each year. Over the past three years, the trust's shareholder payouts have risen at an annualised rate of 21pc. This compares favourably to an inflation rate that has averaged a heady 6.3pc over the same period. Clearly, a dividend policy that pays out a fixed percentage of net assets each year is likely to equate to a highly changeable income stream for investors. This is especially the case given the trust's focus on smaller companies, whose share prices are inherently volatile. With a gearing ratio of just under 11pc, too, its share price could fluctuate to a significantly greater extent than the wider stock market.
Globe and Mail
4 days ago
- Business
- Globe and Mail
Finding overlooked quality U.S. stocks with strong momentum
With the S&P 500 trading within 4 per cent of its all-time high at the time of this writing, investor attention is focused on stocks showing strong momentum. Our screen aims to uncover outperforming U.S.-listed companies that combine robust price performance with solid fundamentals using Trading Central's proprietary Quality and Momentum factor rating approach. By including midcap names with liquidity filters, we're seeking quality stocks that may be overlooked by traditional analysts, yet are well-positioned in today's resilient equity market. Using Trading Central's Strategy Builder, we screened for U.S.-listed stocks with a market capitalization between US$500-million and US$5-billion, focusing our search on small- and midcap companies which are big enough to be stable and liquid, but small enough to still offer significant growth potential and possibly be overlooked by the broader market. To target liquid and tradable securities, we included only stocks with listed options and set a minimum share price of US$10, helping to avoid highly speculative or illiquid names. To identify stocks that have seen increased investor interest, we required the 10-day average trading volume to be at least equal to the 90-day average, signalling recent momentum in trading activity. We focused on companies demonstrating both strong price momentum and solid fundamentals by setting minimum Trading Central Momentum and Quality Factor Ratings of 60 out of 100, respectively. The quality-factor group measures the total financial strength of the company in regard to profitability, the robustness of its balance sheet and earnings quality. The momentum factor refers to the tendency of winning stocks to continue performing well in the near term. Finally, to ensure our screen included stocks maintaining positive trends, we required that each stock be no more than 15 per cent below its 52-week high, identifying companies trading near their recent peaks and exhibiting sustained strength. For informational purposes, we have also included year-to-date, and one-year return. Trading Central is a global leader in financial market research and investment analytics for retail online brokers and institutions. Its product suite provides actionable trading ideas based on technical and fundamental research covering stocks, exchange-traded funds, indexes, forex, options and commodities. Strategy Builder, our stock screener, is available through leading retail brokers in Canada and worldwide. Topping our list is Heritage Insurance Holdings Inc., a property and casualty insurer that has delivered a remarkable 185-per-cent return over the past year, the highest on our list. With a price-to-earnings ratio of just 9.21 and a momentum factor rating of 93, Florida-based Heritage stands out for both value and price momentum. Despite its modest market cap of US$720-million, the company's strong TC Quality Factor rating of 63 and sustained price rally make it a compelling choice for investors seeking under-the-radar growth. One Gas Inc., a regulated natural gas utility serving more than 2.3 million customers across Oklahoma, Kansas and Texas, has the highest market cap on our list at $4.41-billion. The Oklahoma-based company's stock has a TC Quality and Momentum factor rating of 63 and 87 respectively, which is strong. The stock has been outperforming the broad market like all the stocks in this screen, with a 25.6-per-cent return year-to-date. Vancouver's MAG Silver Corp., a leading precious metals producer, caught our attention because of its recent increase in trading volume. The stock's 10-day/90-day volume ratio of 1.51, the highest in our list, suggests it is currently attracting more attention from investors. The stock recently posted a new 52-week high. Trading Central Strategy Builder provides a back-testing capability to evaluate how well an investing strategy would have worked in the past. Using a five-year historical period with quarterly rebalancing, the screen described had an impressive 25-per-cent annualized return compared to 14 per cent for the S&P 500 Index. The investment ideas presented here are for information only. They do not constitute advice or a recommendation by Trading Central in respect of the investment in financial instruments. Investors should conduct further research before investing. Gary Christie is head of North American research at Trading Central in Ottawa.
Yahoo
25-05-2025
- Business
- Yahoo
Is Now An Opportune Moment To Examine EPAM Systems, Inc. (NYSE:EPAM)?
While EPAM Systems, Inc. (NYSE:EPAM) might not have the largest market cap around , it received a lot of attention from a substantial price increase on the NYSE over the last few months. The recent rally in share prices has nudged the company in the right direction, though it still falls short of its yearly peak. With many analysts covering the mid-cap stock, we may expect any price-sensitive announcements have already been factored into the stock's share price. However, could the stock still be trading at a relatively cheap price? Let's take a look at EPAM Systems's outlook and value based on the most recent financial data to see if the opportunity still exists. Our free stock report includes 1 warning sign investors should be aware of before investing in EPAM Systems. Read for free now. The share price seems sensible at the moment according to our price multiple model, where we compare the company's price-to-earnings ratio to the industry average. In this instance, we've used the price-to-earnings (PE) ratio given that there is not enough information to reliably forecast the stock's cash flows. We find that EPAM Systems's ratio of 24.21x is trading slightly below its industry peers' ratio of 29.05x, which means if you buy EPAM Systems today, you'd be paying a decent price for it. And if you believe that EPAM Systems should be trading at this level in the long run, then there's not much of an upside to gain over and above other industry peers. So, is there another chance to buy low in the future? Given that EPAM Systems's share is fairly volatile (i.e. its price movements are magnified relative to the rest of the market) this could mean the price can sink lower, giving us an opportunity to buy later on. This is based on its high beta, which is a good indicator for share price volatility. Check out our latest analysis for EPAM Systems Future outlook is an important aspect when you're looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let's also take a look at the company's future expectations. With profit expected to grow by 41% over the next couple of years, the future seems bright for EPAM Systems. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation. Are you a shareholder? EPAM's optimistic future growth appears to have been factored into the current share price, with shares trading around industry price multiples. However, there are also other important factors which we haven't considered today, such as the track record of its management team. Have these factors changed since the last time you looked at EPAM? Will you have enough conviction to buy should the price fluctuate below the industry PE ratio? Are you a potential investor? If you've been keeping an eye on EPAM, now may not be the most optimal time to buy, given it is trading around industry price multiples. However, the optimistic forecast is encouraging for EPAM, which means it's worth further examining other factors such as the strength of its balance sheet, in order to take advantage of the next price drop. If you want to dive deeper into EPAM Systems, you'd also look into what risks it is currently facing. Every company has risks, and we've spotted 1 warning sign for EPAM Systems you should know about. If you are no longer interested in EPAM Systems, you can use our free platform to see our list of over 50 other stocks with a high growth potential. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
23-05-2025
- Business
- Yahoo
Finding long-term growth potential in mid-cap stocks
In the midst of market volatility, Pointwealth Capital Management Founder and President Sandra Cho is eyeing mid-cap companies with great growth potential, such as CoreWeave (CRWV) and Duke Energy (DUK). Cho goes on to talk more about opportunities in mid-cap growth and resiliency plays as the US dollar (DX=F, is under pressure. To watch more expert insights and analysis on the latest market action, check out more Wealth here. Sign in to access your portfolio
