Value Investing News

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

Weekly roundup of stocks moving in and out of Joel Greenblatt's Magic Formula Investing screen.

For dividend growth investors, there are certain attributes of investments that are more relevant than others, such as yield and dividend growth. To illustrate the power of dividend growth consider that an investment’s yield-on-cost will double every 5 years if they grow their dividend by 15%/year or 7 years at 10%/year or 14 years at 5%/year.

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

Aeropostale has performed admirably through this difficult recession, and makes a decent MFI pick, but there are some concerns going forward.

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

With a remarkably low capital business model and a dividend yield that stands over 10%, Cherokee makes an attractive Magic Formula pick.

Polo Ralph Lauren has a diverse brand portfolio that has stood the test of time and competition. It looks like a fine pick for your MFI portfolio.

American Eagle is an exceptionally well run company trading at flea market prices.

Might closing down some Gap stores actually unlock the value of this stock?

SmartMoney talks to Gary Smith, an economics professor at California's Pomona College about the surprising results of a study called "A Great Company can be a Great Investment". Smith ascertain that, contrary to the efficient market hypothesis, certain household names tend to outperform the broad market. He also talks about Philip Fisher and Peter Lynch's approach in the interview.

Chad Brand says the Lampert / Anheuser Busch (BUD) rumors are insane. Similar rumors have swirled around Lampert before - including purchases of Home Depot (HD) and Gap (GPS) . Besides, there are two important questions worth asking: "How exactly could Lampert pay $44 billion for BUD? And even if he did have the money, why would he do such a thing?"

Rick explores the relationship between fund performance and portfolio manager ownership. While the logic of "eating one's own cooking" is obvious to everyone, the difference in performance between the cooks who do and the cooks who don't may surprise you.