TYTR.JP – WILLIAM O'NEIL+CO

Global Laggards

Posted on November 17, 2022November 18, 2022 by Cornelio Ash

Highlighted Charts

U.S.: Mosaic (MOS), WD-40 (WDFC), Regal Rexnord Corp (RRX), Crown Holdings Inc (CCK), Vontier Corporation (VNT), Tesla (TSLA), SeaWorld Entertainment (SEAS), Ecolab (ECL), Credit Acceptance Corp (CACC), Texas Capital Bancshares (TCBI), Centene (CNC), Option Care Health (OPCH), Carmax (KMX), Apple (AAPL), Cirrus Logic (CRUS), Sensata Holdings (ST), Splunk (SPLK), Matson (MATX).

Developed: Novozymes (NZY.DK, NZYMB DC), Sig Group N (SIGN.CH; SIGN SW), Toyo Tire and Rubber (TYTR.JP; 5105 JP), Sega Sammy Hdg(SESA.JP, 6460 JP), Nikon (OU@N.JP, 7731 JP), Suntory Beverages & Food (SBFL.JP; 2587 JP), Endeavour Group(EDV.AU; EDV AU), Delek Group (DLEKG.IL; DLEKG IT), Idemitsu Kosan (IDKO.JP; 5019 JP), Dai Ichi Life Holdings (DALF.JP; 8750 JP), USS (USSC.JP; 4732 JP), Cathay Pacific (CATH.HK; 293 HK).

Emerging: Taiwan Cement (TCM.TW; 1101 TT), Jay Mart (JAM.TH; JMART TB).

Global Laggards

Posted on February 14, 2019March 27, 2019 by Heetae Kim

Highlighted Charts

U.S.: Bunge ( BG ), Dish Network ( DISH ), Hsbro ( HAS ), Delek US Holdings Inc ( DK ), Markel ( MKL ), Healthcare Svcs ( HCSG ), Central Garden Pet ( CENTA ), Penske Automotive Group ( PAG ), Netgear ( NTGR ), Amdocs ( DOX ).

Developed: Henkel ( HEN3X.DE; HEN3 GR ), Mitsubishi Chemical ( MCHC.JP; 4188 JP ), NGK Insulators ( KI@N.JP; 5333 JP ), Calbee ( CALB.JP; 2229 JP ), Subsea 7 ( SUBC.NO; SUBC NO ), Hargreaves Lansdown ( HL.GB; HL/LN ), Daiichi Sankyo ( D@SA.JP; 4568 JP ), Ain Holdings ( DCL.JP; 9627:JP ), Isetan Mitsukoshi Holdings ( ZW@N.JP; 3099:JP ), Hitachi Metals (HM@N.JP; 5486 JP), Nomura Research (NMRS.JP; 4307 JP), Nippon Yusen KK (NY@N.JP; 9101 JP).

Emerging: Sociedad Quimica y Minera De Chile ( SQB.CL; SQM/B CI ), Maruti Suzuki India ( MUD.IN; MSIL IN ).

Stocks worth focusing on in this week’s Global Laggards:

U.S.

Markel Corp ( MKL ) – Insurance-Property/Casualty/Title; $14B market cap – is a financial holding company offering insurance products primarily focused on specialty insurance.

O’Neil Methodology

The stock is facing strong resistance along its declining 50-DMA.
Poor fundamental ratings: EPS Rank of 26, Composite Rating of 20, SMR Rating of D.
Technical ratings: RS Rating of 27 (near all-time low), A/D Rating of D-.
Pretax margin and ROE have deteriorated over the last four years, and currently stand at 0% and -1%, respectively.
The Insurance-Property/Casualty/Title industry group has sharply declined in rank over the last few weeks. The group is now ranked 97, down from 26 eight weeks ago.

Worsening Combined Ratio During the Last Two Years

The combined ratio of the Company has significantly deteriorated over the last few years. In 2018, it managed to improve, but it remains higher than the industry median of 92%.

Global Laggards

Posted on November 15, 2018February 1, 2019 by Heetae Kim

Highlighted Charts

U.S.: Royal Gold ( RGLD ), Jefferies Financial ( JEF ), Honda Motor ( HMC ), MGP Ingredients ( MGPI ), Enbridge Energy Partners ( EEP ), Cyrusone ( CONE ), Bio Rad Labs ( BIO ), Sothebys ( BID ), Power Integrations ( POWI ), Q2 ( QTWO ), Allegiant Travel Company ( ALGT )

Developed: EMS-Chemie ( EMS.CH; EMSN TQ ), Legrand ( LRRS.FR; LR FP ), Umicore ( UMI.SE; UMI BB ), Modern Times ( MOTB.SE; MTGB: SS ), Asics ( FD@N.JP; 7936 JP ), Subsea 7 ( SUBC.NO; SUBC NO ), CK Asset ( CKPH.HK; 1113 HK ), Recordati ( REC.IT; REC IM ), Shimamura ( SHIM.JP; 8227 JP ), Canon ( CN@N.JP ; 7751 JP ), Capcom ( CAPO.JP ; 9697 JP ), Ryanair ( RY4C.IE; RYA ID )

Emerging: Klabin Units ( KLU.BR; KLBN11 BZ ), Hero MotoCorp ( HER.IN; HMCL IN ), Samsung Electromechanics ( SEM.KR; 009150 KS ),

Stocks worth focusing on in this week’s Global Laggards:

Developed

Capcom Limited ( CAPO.JP ) – Technology Software ( $2.64B Market Cap ) – develops and publishes video games ( console, online, mobile, and arcade ) and manages amusement arcades.

The stock is currently rolling over after a strong uptrend from late 2017 through September 2018 and facing upside resistance at the 200-DMA. The next level of support is at ¥2,000. RS line is at 52-week lows, RS and A/D Ratings are deteriorating.

The Company reported Q2 FY2019 results on 10/29/18, showing EPS of ¥26.91 ( 0% y/y ), operating profit of ¥5.4B ( +28%y/y ), and revenue of ¥26.1B ( 19% y/y ), all slightly below consensus expectations. Despite strength from Monster Hunter: World ( MHW ), FY2019 guidance remains unchanged and below consensus. The Company sees FY2019 EPS of ¥109.60 ( +10% y/y ), operating profit of ¥17B ( +6% y/y ), and revenue of ¥96B ( +2% y/y ), below expectations of ¥124, ¥20B, and ¥98B, respectively.

Although demand has been strong for MHW across multiple platforms (console, mobile), sales of the game have been halted in China since August. Tencent was informed by Chinese regulators to remove MHW from its PC download service (WeGame) just days after MHW’s debut. The removal was due to numerous complaints regarding MHW’s adult and violent content and how it did not fit into China’s strict gaming regulations.

Since March 2018, China’s regulators have frozen the approval of game licenses amid a government shake-up and concerns over censorship and children’s health. This has impacted multiple video game developers including Capcom.

Despite Capcom already achieving ¥10.5B or 62% of its operating profit through the first half of 2019 and ahead of the seasonally strong holiday season, the Company remained conservative and left its FY2019 operating guidance unchanged at ¥17B.