To: JimNewby who wrote (7277 ) 9/2/1998 5:32:00 PM From: Capt Respond to of 8545
Free Stock Analysis from Vector Vest:vectorvest.com VALUE: CKFR has a Value of $14.1 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): CKFR has an RV of 1.51. On a scale of 0.00 to 2.00, an RV of 1.51 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. GRT (Growth Rate): CKFR has a GRT of 40 % 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.