Tag - price earnings ratio

Advice to the Advisors

Sheaff Brock Institutional Group, Sheaff Brock research and analysis, investment data analysis

Sheaff Brock Revs Up and Drills Down to Enhance Research

The word rev is an abbreviation for revolution, alluding to the rate of rotation of an engine, dictionary.com explains. The purpose of revving? To enliven, or stimulate…. The words “enliven” and “stimulate” precisely describe Sheaff Brock managing partners Dave Gilreath and Ron Brock’s intent in inviting research analyst Tom Kaiser to become the newest member of the wealth management firm’s research team. A 2009 graduate of Indiana University’s Kelly School of Business, Tom Kaiser spent five years at Fitch Rating in [...]

Advice to the Advisors

Sheaff Brock Institutional Group | Dogs of the Dow | Jack Russell "superhero" dog

Different Takes on “Dogs of the Dow”—Part One

While some analysts may write off the nearly thirty-year-old “Dogs of the Dow” theory as antiquated, Ian Cooper of chasingmarkets.com disagrees. “Plus,” Cooper adds, “we have to remember that each of the Dogs also pays a healthy dividend.” Antiquated or not, “Dogs of the Dow” is hardly new to investor vocabulary. The concept—out of the 30 stocks that make up the Dow Jones Industrial Average, the strategy involves choosing the ten with the highest dividend yield. The premise, as Investopedia explains, [...]

Advice to the Advisors

P/E Ratio | Price Earnings Ratio for Today's Market | Sheaff Brock Institutional

The P/E and Client Pessimism

Investors have become used to keeping their eye on the price earnings ratio of their pet stocks. In fact, the P/E is a useful way to evaluate the attractiveness of a company's stock price compared to its current earnings per share. As observers of the market, we also know the truth of Josh Kennan’s observation in thebalance.com: “One potential way to know when a sector or industry is overpriced is when the average p/e ratio of all of the [...]