YSG-VECTOR (Yield-Safety-Growth Vector): CCEE has a YSG-Vector of 0.00. On a scale of 0.00 to 2.00, an YSG-Vector rating of 0.00 is very poor. VectorVest combines Dividend YIELD, SAFETY and GROWTH into a single parameter. YSG-Vector allows direct comparison of all dividend paying stocks. Stocks with the highest YSG-Vector values have the best combinations of Dividend Yield, Safety and Growth. These are the stocks to buy for above average current income and long-term growth.
RS (Relative Safety): CCEE has an RS rating of 0.61. On a scale of 0.00 to 2.00, an RS of 0.61 is poor. VectorVest looks at safety from the viewpoint of an equity investor (one who is buying stock of a company) rather than that of a purchaser of debt (one who is lending money to the company). From this perspective, consistency of financial and operating performance, stock price appreciation history, and price volatility are the key factors used in the evaluation of Relative Safety (RS). Debt to equity ratio, capitalization, sales volume, business longevity and other factors are also considered, but to a lesser degree.
VectorVest favors steady, predictable performers. All stocks are rated on a scale of 0.00 to 2.00. A stock with an RS greater than 1.00 is safer and more predictable than the average of all stocks. A stock with an RS less than 1.00 is less predictable and riskier than the average stock.
CCEE has well below average safety with above average upside potential. It reflects a stock which is likely to give above average, inconsistent returns over the long term.
The basic strategy of VectorVest is to buy low risk, high reward stocks. We suggest that Prudent investors buy enough high Relative Value, high Relative Safety stocks to keep the overall RV and RS ratings of their portfolios above 1.00. As you do this, you'll find that your risk will go down and your investment performance will improve. Not a bad combination.
IN OTHERWORDS THE RISK IS NOT JUSTIFIED BY THE RETURN POTENTIAL |