Chris:
Agree 100%.
Will be out of state the next couple of weeks, will B in touch when I get back.
FWIW, this might or mite not B of interest.
Ken
Stock Analysis of Parker Drillng
Thank you for requesting an analysis of Parker Drillng from VectorVest ProGraphics. The ticker
symbol for Parker Drillng is PKD. PKD is traded on the New York Stock Exchange and options
are available on this stock.
PRICE: PKD closed on 17-Oct-1997 at $15.90 per share.
VALUE: PKD has a Value of $20.50 per share. Value is the foundation of the VectorVest system.
It is a measure of what a stock is currently worth. Value is based upon earnings, earnings growth
rate, dividend payments, dividend growth rate, and financial performance. Current interest and
inflation rates also play an important role in the computation of Value. When interest and/or inflation
rates decrease, Value goes up. When interest rates and inflation increase, Value goes down. Sooner
or later a stock's Price and Value always converge.
RV (Relative Value): PKD has an RV of 1.66. On a scale of 0.00 to 2.00, an RV of 1.66 is
excellent. RV reflects the long-term price appreciation potential of the stock compared to an
alternative investment in AAA Corporate Bonds. Stocks with RV ratings above 1.00 have attractive
upside potential. A stock will have an RV greater than 1.00 when its Value is greater than Price, and
its Relative Safety (see below) and forecasted earnings growth rate are above average. In some
cases, however, a stock's RV will be above 1.00 even though its Value is well below Price. This
happens when a stock has an exemplary record of financial performance and an above average
earnings growth rate. In this case, the stock is currently selling at a premium, and the investor is
banking on future earnings growth to drive the stock's price higher. This information is very useful not
only in knowing whether or not a stock has favorable price appreciation potential, but it also solves
the riddle of whether to buy high growth, high P/E, or low growth, low P/E stocks.
We believe that RV ratings above 1.00 are required to consistently achieve above average capital
gains in the stock market.
RS (Relative Safety): PKD has an RS rating of 0.89. On a scale of 0.00 to 2.00, an RS of 0.89
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.
RT (Relative Timing): PKD has an RT rating of 1.30. On a scale of 0.00 to 2.00, an RT of
1.30 is excellent. RT is a fast, responsive, short-term price trend indicator. It analyzes the direction,
magnitude, and dynamics of a stock's price behavior over the last 13 weeks; then reflects and
projects the short-term price performance of the stock. Once a stock's Price has established a
strong trend, it is expected to continue that trend for the short-term. If the trend dissipates, RT will
gravitate towards 1.00. Should the price change dramatically, RT will notice the crucial turning point.
When warranted, it will explode from a Price low and dive from a Price high.
All stocks are rated on a scale of 0.00 to 2.00. If RT is above 1.00, the stock's Price is in an
uptrend. Below 1.00, the stock's Price is in a downtrend.
VST-Vector (VST): PKD has a VST-Vector rating of 1.30. On a scale of 0.00 to 2.00, an VST
of 1.30 is excellent. VST-Vector solves the dilemma of balancing Value, Safety and Timing. Stocks
with high RV values often have low RS values, or stocks with low RV and RS values have high
RT's. How can we find the stocks with the best combinations of Value, Safety, and Timing?
The classic vector formula (square root of the sum of the squares) handles this problem. It combines
a set of forces into a single indicator for ranking every stock in the VectorVest database. Stocks
with the highest VST-Vector have the best combinations of Value, Safety and Timing. These are the
ones to own for above average capital application.
GRT (Growth Rate): PKD has a GRT of 49 % per year. This is excellent. GRT stands for
forecasted Earnings Growth Rate in percent per year. GRT is updated each week for every stock.
Watch GRT trends very carefully. If the GRT trend is up, the stock's Price will likely rise. If the GRT
trend is down, the stock's Price will increase more slowly, cease to increase, or subsequently fall.
Recommendation (REC): PKD has a Hold recommendation. REC reflects the cumulative effect
of all the VectorVest parameters working together. These parameters are designed to help investors
buy safe, undervalued stocks which are rising in price, and to avoid or sell risky, overvalued stocks
which are falling in price.
VectorVest is tuned to give an "H" or "B" signal when a stock's price is approximately 10% above a
recent low, and an "S" signal when the stock's price is approximately 10% below a recent high. High
RV, RS stocks are favored toward receiving "B" REC's, and sheltered from receiving "S" RECs.
STOP-PRICE: PKD has a Stop-Price of $14.60 per share. This is $1.30 or 8.2% below its
current closing Price. VectorVest analyzes over 6,000 stocks each day for Value, Safety and
Timing, and calculates a Stop-Price for each stock. These Stop-Prices are based upon 13 week
moving averages of closing prices, and are fine-tuned according to each stock's fundamentals.
In the VectorVest system, a stock gets a "B" or an "H" recommendation if its price is above its
Stop-Price, and an "S" recommendation if its price is below its Stop-Price.
DIV (Dividend): PKD does not pay a dividend. VectorVest focuses on annual,regular, cash
dividends indicated by the most recent disbursement. Special distributions, one-time payments,
stock dividends, etc., generally are not included in Dividend (DIV).
DY (Dividend Yield): PKD has a DY of 0.0 percent. This is below the current market average
of 1.3 percent. DY equals 100 x (DIV/PRICE), and is expressed as a percentage.
EY (Earnings Yield): PKD has an EY of 4.72%. This is below the current market average of
4.78%. EY equals 100 x (EARNINGS PER SHARE/PRICE), and is expressed as a percentage.
EPS (Earnings Per Share): PKD has an EPS of $0.75 per share. EPS stands for leading 12
months Earnings Per Share. VectorVest determines this forecast from a combination of recent
earnings performance and traditional fiscal and/or calendar year earnings forecasts.
P/E (Price to Earnings Ratio): PKD has a P/E ratio of 21.19. This ratio is computed daily
based upon Price and EPS. P/E = Price/EPS.
GPE (Growth to P/E Ratio): PKD has a GPE of 2.31. This ratio suggests that This ratio
suggests that PKD is undervalued. Growth to P/E ratio is a popular measure of stock valuation
which compares Earnings Growth Rate (GRT) to Price Earnings ratio (P/E). A stock is considered
to be undervalued when GPE is greater than 1.00, and vice-versa. VectorVest believes that RV is a
much better indicator of long-term value. The RV of 1.66 for PKD is excellent.
DS (Dividend Safety): PKD has a DS of 0. On a scale of 0 to 99, a DS of 0 is poor. DS is
defined as the assurance that regular cash dividends will be declared and paid at current or at higher
rates for the foreseeable future. Stocks with DS values above 50 on a scale of 0 to 99 are above
average in safety.
RISK (Dividend Risk): PKD does not pay a dividend. All stocks in the VectorVest system that
pay dividends are classified as having Low, Medium or High Dividend Risk (RISK). Stocks with
DS values above 50 are above average in safety. These stocks are classified as having LOW or
MEDIUM RISK. Stocks with DS values below 50 are below average in safety and are classified as
having HIGH Risk.
DG (Dividend Growth): PKD has a DG of 0 percent per year. Dividend Growth is a subtle yet
important indicator of a company's historical financial performance and the board's current outlook
on the future use of funds.
YSG-VECTOR (Yield-Safety-Growth Vector): PKD 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.
VOL(100)s: PKD traded 805600 shares on 17-Oct-1997.
AVG VOL(100)s: PKD has an Average Volume of 741013. Average Volume is 50 day moving
average of daily volume as computed by VectorVest.
% VOL: PKD had a Volume change of 8.7% from its 50 day moving average volume.
OPEN: PKD opened trading at $16.30 per share on 17-Oct-1997.
HIGH: PKD traded at a high of $16.50 per share on 17-Oct-1997.
LOW: PKD traded at a low of $15.70 per share on 17-Oct-1997.
CLOSE: PKD Closed trading at $15.90 per share on 17-Oct-1997.
% PRC: PKD showed a Price change of -2.5% from the prior day's closing price.
INDUSTRY: PKD has been assigned to the Petroleum (Drilling) Group. VectorVest classifies
stocks into over 190 Industry Groups and 50 Business Sectors.
PKD has below average safety with well above average upside potential. It reflects a stock which is
likely to give well 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.
Thank you for your interest in VectorVest ProGraphics.
c Copyright 1997 by MarketSoft, Inc. All Rights Reserved.
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For additional information, call 1-888-658-7638, e-mail to sales@vectorvest.com, or visit our internet site at
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VectorVest is registered as an investment advisor with the United States Securities and Exchange Commission. VectorVest ProGraphics is comprised
of reports embodying a unique system of stock analysis. All contents and recommendations are based on data and sources believed to be reliable, but
accuracy and completeness cannot be guaranteed. Users should be aware of the risks involved in stock investments. It should not be assumed that
future results will be profitable or will equal past performance, real, indicated or implied. VectorVest and/or its principals may purchase or sell any of
the securities cited herin. VectorVest and the logostyle, geometric design are, individually and collectively, service marks licensed by MarketSoft,
Inc. VectorVest ProGraphics is published daily by Marketsoft, Inc. 2167 Wehrle Drive, Williamsville NY 14221 1-716-565-9630 |
