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Church & Dwight Co and Other Consumer/Non-Cyclical Stocks Making Big Moves on August 21, 2012
The Nasdaq remains relatively unchanged, the S&P 500 is up 0.3% and the Dow has climbed 0.2% after the morning's trading.
These are the biggest movers in the Consumer/Non-Cyclical sector (XLP) (+0.1%):
Forex Broker Summary: Forex Capital Markets (FXCM)
Church & Dwight Co (NYSE:CHD) has risen 4.9% and is currently trading at $55.62 per share. So far today, the company's volume is 856,489 shares, 0.7 times the average volume over the last three months. If a stock price makes a big move up or down, volume lets us know the significance of that move. Investment valuation ratios provide investors with an estimation, albeit a simplistic one, of the value of a stock. The price/sales ratio measures a company's stock market price by its revenues. CHD's P/S ratio of 2.74 is on the high side. This could be a good sign if the share price increases. A limitation of the P/S ratio is that the price component measures only stock market captialization, while sales are a function of the entire capital structure, potentially leading to wide differences between levered and unlevered companies.
Star Scientific (Nasdaq:STSI) has fallen 4.1% and is currently trading at $4.20 per share. So far today, 610,021 shares of the company's stock have changed hands. Price change alone is not enough to know how a stock is doing. Volume is an important secondary indicator used to confirm trends suggested by price movement. Valuation ratios allow the investor to make a quick determination as to a company's investment value. The price/book value ratio, often expressed simply as "price-to-book", provides investors a way to compare the market value, or what they are paying for each share, to a conservative measure of the value of the firm. The P/B ratio for STSI is 52.5, indicating that the stock is trading for more than its book value. This high share price relative to asset value is likely to indicate that the company has been earning a very high return on its assets. To put things in perspective, should be made among companies in the same industry rather than across industries. SEE: How Buybacks Warps The Price-To-Book Ratio
Increasing 3.2%, Green Mountain Coffee Roasters (Nasdaq:GMCR) is trading at $25.11 per share. The company's volume is currently 2.4 million shares for the day, 0.4 times the average daily volume. Volume is used to evaluate how meaningful the price movement of a stock is. Understanding investment valuation ratios allows an investor to assess the true value of an individual stock. In a nutshell, the price/sales ratio shows how much Wall Street values every dollar of the company's sales. GMCR has a low P/S ratio of 0.93. A company with a lower P/S ratio is generally considered more attractive, since investors are paying less for each dollar of sales. It is important to keep in mind when looking at the P/S ratio that just because a company is generating revenues, this does not mean that the company is profitable, and in the long run, profits drive stock prices.
Nu Skin Enterprises (NYSE:NUS) has increased to a share price of $42.18, a 2.8% rise. So far today, 663,389 shares have changed hands. Volume is used to evaluate how meaningful the price movement of a stock is. Investment valuation ratios can be very useful in determining the value of a stock, but it is very important to keep in mind that while some financial ratios have general rules (or a broad application), in most instances it is a prudent practice to look at a company's historical performance and use peer company/industry comparisons to put any given company's ratio in perspective. The price/earnings to growth (PEG) ratio compares a company's P/E ratio to its earnings-per-share growth rate, which tells you whether or not you are getting a good value when purchasing a stock with a high price/earnings ratio (P/E ratio). NUS has a PEG ratio of 1.04, which is consistent with the industry average. Because of the adjustment for earnings growth rate, the PEG ratio is somewhat more useful than many formulas for comparing companies in different industries.
Blyth (NYSE:BTH) is trading at $44.33 per share, down 2.7%. The company's volume is currently 37,040 shares for the day, 0.1 times its current three-month average. In technical analysis, trading volume is used to determine the strength of a market indicator. Valuation ratios like the price to earnings (P/E) ratio, the price to earnings growth (PEG) ratio, the price to sales (P/S) ratio, the price to book (P/B) ratio, and the dividend yield are useful in determining how attractive a potential or existing investment is. The debt ratio measures the leverage of a company, and a company's leverage is a good way to assess risk. The debt ratio for BTH is 77.7%, which is relatively high. This means that the company's cash flow is significantly impacted by paying off principal and interest and that any negative change in performance or rise in interest rates could result in default. As with all financial ratios, a company's debt ratio should be compared with the industry average or similar companies.
At $13.26, Revlon (NYSE:REV) has slipped 2.6%. The company's volume for the day so far is 29,203 shares. This is about the same trading activity as there was yesterday. High volume indicates a lot of investor interest while low volume indicates the opposite. Looking at a company's valuation ratios is a good way of getting a basic idea as to its value as an investment. Price/earnings ratios (P/E ratios) provide a measure of the relative value of a stock. REV's P/E ratio of 13.3 is under the industry average of 18.47. A low P/E might arise due to substantial inherent risk of the firm and its operations, poor return on equity, or improper valuation of the market. A high P/E ratio indicates a stock that is expensive, while a low P/E ratio indicates a stock that is cheap. SEE: Investment Valuation Ratios: Price/Earnings Ratio
Rising 2.3%, Lancaster (Nasdaq:LANC) is currently trading at $70.75 per share. At 66,637 shares, the company's volume so far today is 1.6 times the average daily volume. The trading volume for a stock indicates the level of investor interest. When estimating the value of a particular investment, valuation ratios provide a good basis for assessing the value of an individual stock. The price/book value ratio is one of the more common methods of determining whether a stock is fairly valued. LANC's stock is trading for more than its book value with a P/B ratio of 3.49. It is important to take the company's debt into account when using the P/B ratio as debt can boost a company's liabilities to the point where they wipe out much of the book value of its hard assets, creating artificially high P/B values. P/B value ratios are particularly useful to value investors, distressed or "vulture" investors, or any other investors purchasing beaten-down securities but are less useful to investors focused on growth stocks, purchasing IPOs, or investing in technology or other "asset-lite" companies. SEE: Investment Valuation Ratios: Price/Book Value Ratio
The Bottom Line On any given day, a particular stock may see positive or negative change in its share price. Daily stock performance should be weighed against historical performance and put in context of the market overall. Keep in mind that all these ratios should be compared against historical numbers and industry information in order to get a more complete picture.
These are the biggest movers in the Consumer/Non-Cyclical sector (XLP) (+0.1%):
| Company | Market Cap | Percentage Change |
| Church & Dwight Co (NYSE:CHD) | $7.38 billion | +4.9% |
| Star Scientific (Nasdaq:STSI) | $639.3 million | -4.1% |
| Green Mountain Coffee Roasters (Nasdaq:GMCR) | $3.79 billion | +3.2% |
| Nu Skin Enterprises (NYSE:NUS) | $2.46 billion | +2.8% |
| Blyth (NYSE:BTH) | $785.7 million | -2.7% |
| Revlon (NYSE:REV) | $713 million | -2.6% |
| Lancaster (Nasdaq:LANC) | $1.89 billion | +2.3% |
Church & Dwight Co (NYSE:CHD) has risen 4.9% and is currently trading at $55.62 per share. So far today, the company's volume is 856,489 shares, 0.7 times the average volume over the last three months. If a stock price makes a big move up or down, volume lets us know the significance of that move. Investment valuation ratios provide investors with an estimation, albeit a simplistic one, of the value of a stock. The price/sales ratio measures a company's stock market price by its revenues. CHD's P/S ratio of 2.74 is on the high side. This could be a good sign if the share price increases. A limitation of the P/S ratio is that the price component measures only stock market captialization, while sales are a function of the entire capital structure, potentially leading to wide differences between levered and unlevered companies.
Star Scientific (Nasdaq:STSI) has fallen 4.1% and is currently trading at $4.20 per share. So far today, 610,021 shares of the company's stock have changed hands. Price change alone is not enough to know how a stock is doing. Volume is an important secondary indicator used to confirm trends suggested by price movement. Valuation ratios allow the investor to make a quick determination as to a company's investment value. The price/book value ratio, often expressed simply as "price-to-book", provides investors a way to compare the market value, or what they are paying for each share, to a conservative measure of the value of the firm. The P/B ratio for STSI is 52.5, indicating that the stock is trading for more than its book value. This high share price relative to asset value is likely to indicate that the company has been earning a very high return on its assets. To put things in perspective, should be made among companies in the same industry rather than across industries. SEE: How Buybacks Warps The Price-To-Book Ratio
Increasing 3.2%, Green Mountain Coffee Roasters (Nasdaq:GMCR) is trading at $25.11 per share. The company's volume is currently 2.4 million shares for the day, 0.4 times the average daily volume. Volume is used to evaluate how meaningful the price movement of a stock is. Understanding investment valuation ratios allows an investor to assess the true value of an individual stock. In a nutshell, the price/sales ratio shows how much Wall Street values every dollar of the company's sales. GMCR has a low P/S ratio of 0.93. A company with a lower P/S ratio is generally considered more attractive, since investors are paying less for each dollar of sales. It is important to keep in mind when looking at the P/S ratio that just because a company is generating revenues, this does not mean that the company is profitable, and in the long run, profits drive stock prices.
Nu Skin Enterprises (NYSE:NUS) has increased to a share price of $42.18, a 2.8% rise. So far today, 663,389 shares have changed hands. Volume is used to evaluate how meaningful the price movement of a stock is. Investment valuation ratios can be very useful in determining the value of a stock, but it is very important to keep in mind that while some financial ratios have general rules (or a broad application), in most instances it is a prudent practice to look at a company's historical performance and use peer company/industry comparisons to put any given company's ratio in perspective. The price/earnings to growth (PEG) ratio compares a company's P/E ratio to its earnings-per-share growth rate, which tells you whether or not you are getting a good value when purchasing a stock with a high price/earnings ratio (P/E ratio). NUS has a PEG ratio of 1.04, which is consistent with the industry average. Because of the adjustment for earnings growth rate, the PEG ratio is somewhat more useful than many formulas for comparing companies in different industries.
Blyth (NYSE:BTH) is trading at $44.33 per share, down 2.7%. The company's volume is currently 37,040 shares for the day, 0.1 times its current three-month average. In technical analysis, trading volume is used to determine the strength of a market indicator. Valuation ratios like the price to earnings (P/E) ratio, the price to earnings growth (PEG) ratio, the price to sales (P/S) ratio, the price to book (P/B) ratio, and the dividend yield are useful in determining how attractive a potential or existing investment is. The debt ratio measures the leverage of a company, and a company's leverage is a good way to assess risk. The debt ratio for BTH is 77.7%, which is relatively high. This means that the company's cash flow is significantly impacted by paying off principal and interest and that any negative change in performance or rise in interest rates could result in default. As with all financial ratios, a company's debt ratio should be compared with the industry average or similar companies.
At $13.26, Revlon (NYSE:REV) has slipped 2.6%. The company's volume for the day so far is 29,203 shares. This is about the same trading activity as there was yesterday. High volume indicates a lot of investor interest while low volume indicates the opposite. Looking at a company's valuation ratios is a good way of getting a basic idea as to its value as an investment. Price/earnings ratios (P/E ratios) provide a measure of the relative value of a stock. REV's P/E ratio of 13.3 is under the industry average of 18.47. A low P/E might arise due to substantial inherent risk of the firm and its operations, poor return on equity, or improper valuation of the market. A high P/E ratio indicates a stock that is expensive, while a low P/E ratio indicates a stock that is cheap. SEE: Investment Valuation Ratios: Price/Earnings Ratio
Rising 2.3%, Lancaster (Nasdaq:LANC) is currently trading at $70.75 per share. At 66,637 shares, the company's volume so far today is 1.6 times the average daily volume. The trading volume for a stock indicates the level of investor interest. When estimating the value of a particular investment, valuation ratios provide a good basis for assessing the value of an individual stock. The price/book value ratio is one of the more common methods of determining whether a stock is fairly valued. LANC's stock is trading for more than its book value with a P/B ratio of 3.49. It is important to take the company's debt into account when using the P/B ratio as debt can boost a company's liabilities to the point where they wipe out much of the book value of its hard assets, creating artificially high P/B values. P/B value ratios are particularly useful to value investors, distressed or "vulture" investors, or any other investors purchasing beaten-down securities but are less useful to investors focused on growth stocks, purchasing IPOs, or investing in technology or other "asset-lite" companies. SEE: Investment Valuation Ratios: Price/Book Value Ratio
The Bottom Line On any given day, a particular stock may see positive or negative change in its share price. Daily stock performance should be weighed against historical performance and put in context of the market overall. Keep in mind that all these ratios should be compared against historical numbers and industry information in order to get a more complete picture.
by
Investopedia Staff
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