Surveying the Technicals for Avast Plc (LSE:AVST) and Duke Energy Corporation (NYSE:DUK)

Looking at some ROIC (Return on Invested Capital) numbers, Avast Plc (LSE:AVST)’s ROIC Quality Score is . 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.  This formula is calculated by 5 year average Return on Invested Capital (ROIC) / Standard Deviation of the 5 year ROIC.  The higher the ratio, the better as a higher score indicates a more stable return on invested capital.

Avast Plc (LSE:AVST) currently has a Montier C-score of 2.00000. This indicator was developed by James Montier in an attempt to identify firms that were cooking the books in order to appear better on paper. The score ranges from zero to six where a 0 would indicate no evidence of book cooking, and a 6 would indicate a high likelihood. A C-score of -1 would indicate that there is not enough information available to calculate the score. Montier used six inputs in the calculation. These inputs included a growing difference between net income and cash flow from operations, increasing receivable days, growing day’s sales of inventory, increasing other current assets, decrease in depreciation relative to gross property plant and equipment, and high total asset growth.

Earnings Yield

Checking in on some valuation rankings, Avast Plc (LSE:AVST) has a Value Composite score of 51. 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 52.

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 Avast Plc (LSE:AVST) is . 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 Avast Plc (LSE:AVST) is . 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.

Watching some historical volatility numbers on shares of Avast Plc (LSE:AVST), we can see that the 12 month volatility is presently 0.000000. The 6 month volatility is 30.664600, and the 3 month is spotted at 38.692000. 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 Avast Plc (LSE:AVST) for last month was 0.92200. 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 Avast Plc (LSE:AVST) is 1.08354.
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 Avast Plc (LSE:AVST) over the past 52 weeks is 0.894000. The 52-week range can be found in the stock’s quote summary.

Quant Data
Shifting gears, we can see that Avast Plc (LSE:AVST) has a Q.i. Value of 30.00000. 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 Avast Plc (LSE:AVST) is 2.00000. 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.

After taking a recent look, we can see that Duke Energy Corporation (NYSE:DUK) has a Shareholder Yield of 0.023577 and a Shareholder Yield (Mebane Faber) of -0.03231 (both decimals, not percentages). The first value is calculated by adding the dividend yield to the percentage of repurchased shares. The second value adds in the net debt repaid yield to the calculation. Shareholder yield has the ability to show how much money the firm is giving back to shareholders via a few different avenues. Companies may issue new shares and buy back their own shares. This may occur at the same time. Investors may also use shareholder yield to pinpoint a baseline rate of return.

The Piotroski F-Score is a scoring system between 1-9 that determines a firm’s financial strength. The score helps determine if a company’s stock is valuable or not. The Piotroski F-Score of Duke Energy Corporation (NYSE:DUK) is 5. A score of nine indicates a high value stock, while a score of one indicates a low value stock. The score is calculated by the return on assets (ROA), Cash flow return on assets (CFROA), change in return of assets, and quality of earnings. It is also calculated by a change in gearing or leverage, liquidity, and change in shares in issue. The score is also determined by change in gross margin and change in asset turnover.

The ERP5 Rank is an investment tool that analysts use to discover undervalued companies. The ERP5 looks at the Price to Book ratio, Earnings Yield, ROIC and 5 year average ROIC. The ERP5 of Duke Energy Corporation (NYSE:DUK) is 9407. The lower the ERP5 rank, the more undervalued a company is thought to be. The MF Rank (aka the Magic Formula) is a formula that pinpoints a valuable company trading at a good price. The formula is calculated by looking at companies that have a high earnings yield as well as a high return on invested capital. The MF Rank of Duke Energy Corporation (NYSE:DUK) is 8865. A company with a low rank is considered a good company to invest in. The Magic Formula was introduced in a book written by Joel Greenblatt, entitled, “The Little Book that Beats the Market”.

Yield

The Q.i. Value of Duke Energy Corporation (NYSE:DUK) is 45.00000. The Q.i. Value is a helpful tool in determining if a company is undervalued or not. The Q.i. Value is calculated using the following ratios: EBITDA Yield, Earnings Yield, FCF Yield, and Liquidity. The lower the Q.i. value, the more undervalued the company is thought to be. The Value Composite One (VC1) is a method that investors use to determine a company’s value. The VC1 of Duke Energy Corporation (NYSE:DUK) is 38. A company with a value of 0 is thought to be an undervalued company, while a company with a value of 100 is considered an overvalued company. The VC1 is calculated using the price to book value, price to sales, EBITDA to EV, price to cash flow, and price to earnings. Similarly, the Value Composite Two (VC2) is calculated with the same ratios, but adds the Shareholder Yield. The Value Composite Two of Duke Energy Corporation (NYSE:DUK) is 34.

The Leverage Ratio of Duke Energy Corporation (NYSE:DUK) is 0.406834. Leverage ratio is the total debt of a company divided by total assets of the current and past year divided by two. Companies take on debt to finance their day to day operations. The leverage ratio can measure how much of a company’s capital comes from debt. With this ratio, investors can better estimate how well a company will be able to pay their long and short term financial obligations.

Volatility & Price

We can now take a quick look at some historical stock price index data. Duke Energy Corporation (NYSE:DUK) presently has a 10 month price index of 1.23029. The price index is calculated by dividing the current share price by the share price ten months ago. A ratio over one indicates an increase in share price over the period. A ratio lower than one shows that the price has decreased over that time period. Looking at some alternate time periods, the 12 month price index is 1.05947, the 24 month is 1.28086, and the 36 month is 1.46444. Narrowing in a bit closer, the 5 month price index is 1.16792, the 3 month is 1.10457, and the 1 month is currently 1.06237.

Stock volatility is a percentage that indicates whether a stock is a desirable purchase. Investors look at the Volatility 12m to determine if a company has a low volatility percentage or not over the course of a year. The Volatility 12m of Duke Energy Corporation (NYSE:DUK) is 16.183200. This is calculated by taking weekly log normal returns and standard deviation of the share price over one year annualized. The lower the number, a company is thought to have low volatility. The Volatility 3m is a similar percentage determined by the daily log normal returns and standard deviation of the share price over 3 months. The Volatility 3m of Duke Energy Corporation (NYSE:DUK) is 17.443100. The Volatility 6m is the same, except measured over the course of six months. The Volatility 6m is 16.016900.

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