Are the Quant Signals Leaning a Certain Way on Caleres, Inc. (NYSE:CAL)’s 0.083237 EY?

Here will take a quick scan of Earnings Yield information on shares of Caleres, Inc. (NYSE:CAL). Currently, the Earnings to Price (Yield) is 0.070419, Earnings Yield is 0.083237, and Earnings Yield 5 year average is 0.074382. Earnings yield provides a way for investors to help measure returns. Investors may choose to compare the earnings yield of stocks to money market instruments, treasuries, or bonds. The firm will look to it’s next scheduled report date to try to improve on these numbers. 

Investors might be trying to figure out an investment plan that is right for them. Some may opt to go with a short-term plan, and others may choose to invest in stocks for the long haul. The thought of creating a defined plan may be overwhelming to some. Comparing the plusses and minuses of both may be a good way to start forming a strategy. Investing for the short-term may offer chances to capitalize on gains over a few weeks or months. There may be more fluctuations to deal with in the short-term, but the rewards may be greater if managed properly. One drawback of investing for the short-term is that it may involve more risk. The element of correct timing comes into play when trying to enter or exit a position, which may not be for everyone. Investing for the long-term may be a safer way to go as investors are typically looking for smaller gains over a longer period of time.

Checking in on some valuation rankings, Caleres, Inc. (NYSE:CAL) has a Value Composite score of 21. 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 21.

FCF

Turning to Free Cash Flow Growth (FCF Growth) is the free cash flow of the current year minus the free cash flow from the previous year, divided by last year’s free cash flow.  The FCF Growth of Caleres, Inc. (NYSE:CAL) is -0.118755.  Free cash flow (FCF) is the cash produced by the company minus capital expenditure.  This cash is what a company uses to meet its financial obligations, such as making payments on debt or to pay out dividends.  The Free Cash Flow Score (FCF Score) is a helpful tool in calculating the free cash flow growth with free cash flow stability – this gives investors the overall quality of the free cash flow.  The FCF Score of Caleres, Inc. (NYSE:CAL) is 0.597387.  Experts say the higher the value, the better, as it means that the free cash flow is high, or the variability of free cash flow is low or both.

Investors are always trying to get an advantage in the equity market. Everyone wants to find that next great stock pick that provides a solid boost to the portfolio. Investors often identify risk preference when trying to sort out asset allocation. In general, a higher amount of risk may offer a greater potential for growth. Many investors may struggle with the concept of leaving emotion out of picking stocks. Equity research may involve a high degree of patience, determination, and lots of homework. Learning everything possible about the markets can help the individual investor better navigate the waters. As the old saying goes, knowledge is power. Being able to filter through the data to determine what is relevant information may assist the investor with making those tough investment decisions.

Watching some historical volatility numbers on shares of Caleres, Inc. (NYSE:CAL), we can see that the 12 month volatility is presently 37.204200. The 6 month volatility is 37.381300, and the 3 month is spotted at 40.111900. 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.  Heading into earnings season investors often take close note of the volatility levels ahead of and immediately after the earnings report. 

Price Index

The Price Index is a ratio that indicates the return of a share price over a past period. The price index of Caleres, Inc. (NYSE:CAL) for last month was 0.96365. This is calculated by taking the current share price and dividing by the share price one month ago. If the ratio is greater than 1, then that means there has been an increase in price over the month. 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 Caleres, Inc. (NYSE:CAL) is 0.91013.

Price Range 52 Weeks

Some of the best financial predictions are formed by using a variety of financial tools. The Price Range 52 Weeks is one of the tools that investors use to determine the lowest and highest price at which a stock has traded in the previous 52 weeks. The Price Range of Caleres, Inc. (NYSE:CAL) over the past 52 weeks is 0.719000. The 52-week range can be found in the stock’s quote summary.

Occasionally, a certain stock may perform much higher than expectations, and it may become a much greater percentage of the portfolio. This is typically a good thing, but it may require some decisions on what to do with the portfolio allocations. If one stock is making up a high percentage of the total, it may create the risk of higher than normal average losses if the shares take an unforeseen dive lower. Even if the stock has the potential to go much higher, it can be tricky to know when to sell and find other stocks that might be a better value. Selling a winner might leave the average investor frustrated if the stock goes higher, but there may be nothing wrong with taking profits and not leaving gains on the table. As we move into the second half of the year, investors may want to compare first half gains with goals that were established at the beginning of the year. This may help narrow in on what needs to be done in order to stay in the green for the rest of the year and beyond. Setting portfolio goals may be a good way to stay the course when things get a little hairy in the markets.

Quant Data
Shifting gears, we can see that Caleres, Inc. (NYSE:CAL) has a Q.i. Value of 22.00000. The Q.i. Value ranks companies using four ratios. These ratios consist of EBITDA Yield, FCF Yield, Liquidity, and Earnings Yield. The purpose of the Q.i. Value is to help identify companies that are the most undervalued. Typically, the lower the value, the more undervalued the company tends to be.

Another signal that many company execs and investors don’t want to talk about is the C-Score. The C-Score is a system developed by James Montier that helps determine whether a company is involved in inflating their financial statements.  The C-Score is calculated by a variety of items, including a growing difference in net income verse cash flow, increasing days outstanding, growing days sales of inventory, increasing assets to sales, declines in depreciation, and high total asset growth.  The C-Score of Caleres, Inc. (NYSE:CAL) is 5.00000.  The score ranges on a scale of -1 to 6.  If the score is -1, then there is not enough information to determine the C-Score.  If the number is at zero (0) then there is no evidence of fraudulent book cooking, whereas a number of 6 indicates a high likelihood of unusual activity. The C-Score assists investors in assessing the validity of financials. 

F-Score

At the time of writing, Caleres, Inc. (NYSE:CAL) has a Piotroski F-Score of 4. The F-Score may help discover companies with strengthening balance sheets. The score may also be used to spot the weak performers. Joseph Piotroski developed the F-Score which employs nine different variables based on the company financial statement. A single point is assigned to each test that a stock passes. Typically, a stock scoring an 8 or 9 would be seen as strong. On the other end, a stock with a score from 0-2 would be viewed as weak.

When examining stocks, investors might be doing top down research. Top down analysis begins with looking at certain macro-economic factors. This may involve focusing in on the bigger picture and going all the way down to specific stocks. Starting at the top, investors may check on the global economic environment, overall market trends, and sector trends. Investors may choose to start doing research the other way around. This may involve first looking at the fundamentals for particular stocks in order to gauge the strength from a company standpoint. Many investors will scope out all the different investing aspects as to not leave any information uncovered.