Stock Valuation & Dividend Analysis: E.ON SE (EOAN)

ProThinkerOctober 12, 2018October 12, 2018All Dividend Analysis E.ON Stock Valuation

Name of Company		Country of Origin/ Exchange Traded		Sector			Stock Price
E.ON SE		Germany/ XTER		Utilities – Utilities – Regulated – Utilities – Diversified			EUR8.39
							@ 12 Oct 2018
COMPANY PROFILE		E.ON SE is a part of the energy sector based in Germany. Its business depends on the revenue generated from selling power mainly in the United Kingdom. After selling its 47% stake in Uniper in January 2018, E.ON has three core businesses: renewable energy, retail supply, and networks. Its renewable energy business owns about 4.6 gigawatts of capacity worldwide. Its retail supply serves 21 million customers primarily in the U.K., Germany, and Hungary. Its networks business operates in Germany, Eastern Europe, and Sweden.
Stock Code		EOAN
Stock Valuation and Dividend Analysis Below

For stocks that has a history of paying meaningful dividends, the stock price is often dependent on how much dividend the company pays.
At the price of EUR8.39 as at 12 Oct 2018, E.ON SE is trading at a Dividend Yield of 4.7%. This is a 41.5% premium to its historical average Dividend Yield of 6.6%. (Note: The lower/higher the dividend yield, the more expensive/cheaper the stock is.)
Is the stock overvalued? One should not just look at one indicator to determine the fair value of a stock.
ProThinker believes in using a combination of valuation methods to decide whether a stock is over or undervalued? The five ratios we use are Price to Earnings, Price to Sales, Price to Cash Flow, Price to Book and Dividend Yield. We use multiple methods to value a stock because each has its benefits as well as shortcomings. Price to Earnings and Price to Cash Flow Ratios relate stock price to profitability but are meaningless when the comany has negative earnings or cash flows. Price to Sales Ratio is more stable because sales are never negative. However, this does not tell us whether the company is able to sell profitably. Price to Book Ratio gives us an indication as to how much we are paying for the company’s assets but it is not directly related to the company’s profitability. Dividend Yield cannot be used for companies that are paying little to no dividends.
While it is important to value stocks based on multiple valuation methods, this often leads to differing views on valuation. One indicator may suggest that a stock is overvalued while another suggest that it is undervalued. This does not help an investor who needs to make a definite decision whether to buy, hold or sell the stock. That is why we advocate the use of a Composite Valuation Indicator, which is derived from the best combination of the five indicators above. A Composite Valuation Indicator will give you ONE conclusion on whether a stock is under or over valued.
To find out more about our valuation methodology, click here.
We should not only be concerned about the amount of dividends, we should determine if the dividends paid out by the company are sustainable. One way to do that is to compare dividends paid out to the cash flows that the company is generating.
The company usually pays less dividends than its free cash flow, which is good.

Source of Data: Company description, historical financial statements data and price data are from gurufocus.com or moneycontrol.com. Estimates are from marketscreener.com – Thomson Reuters.
Disclaimer: This report is for information purposes only and should not be considered a solicitation to buy or sell any security. Neither ProThinker nor any other party guarantees its accuracy or makes warranties regarding results from its usage. Redistribution is prohibited without the express written consent of ProThinker. Copyright(c) 2018. All rights reserved.

Stock Valuation & Dividend Analysis: Transcanada Corp (TRP)

ProThinkerSeptember 17, 2018September 17, 2018All Dividend Analysis Stock Valuation Transcanada Corp

Name of Company		Country of Origin/ Exchange Traded		Sector			Stock Price
TRANSCANADA CORP		Canada/ TSX		Energy – Oil & Gas – Midstream – Oil & Gas Midstream			CAD54.54
							@ 17 Sep 2018
COMPANY PROFILE		TransCanada Corp is an energy infrastructure company. Its business segments include, Natural Gas Pipelines, Liquid Pipelines and Energy. The company has pipeline and power generation assets in Canada, the United States, and Mexico. TransCanada operates as an energy infrastructure company, consisting of pipeline and power generation assets in Canada, the U.S., and Mexico. TransCanada’s pipeline network consists of over 67,000 km (41,900 miles) of natural gas pipeline, along with the Keystone Pipeline system. The company also owns or has interests in 20 power-generation facilities, with a capacity of 13,100 megawatts.
Stock Code		TRP
Stock Valuation and Dividend Analysis Below

For stocks that has a history of paying meaningful dividends, the stock price is often dependent on how much dividend the company pays.
At the price of CAD54.54 as at 17 Sep 2018, TransCanada Corp is trading at a Dividend Yield of 5.0%. This is a 22.5% discount to its historical average Dividend Yield of 3.9%. (Note: The lower/higher the dividend yield, the more expensive/cheaper the stock is.)
Is the stock overvalued? One should not just look at one indicator to determine the fair value of a stock.
ProThinker believes in using a combination of valuation methods to decide whether a stock is over or undervalued? The five ratios we use are Price to Earnings, Price to Sales, Price to Cash Flow, Price to Book and Dividend Yield. We use multiple methods to value a stock because each has its benefits as well as shortcomings. Price to Earnings and Price to Cash Flow Ratios relate stock price to profitability but are meaningless when the comany has negative earnings or cash flows. Price to Sales Ratio is more stable because sales are never negative. However, this does not tell us whether the company is able to sell profitably. Price to Book Ratio gives us an indication as to how much we are paying for the company’s assets but it is not directly related to the company’s profitability. Dividend Yield cannot be used for companies that are paying little to no dividends.
While it is important to value stocks based on multiple valuation methods, this often leads to differing views on valuation. One indicator may suggest that a stock is overvalued while another suggest that it is undervalued. This does not help an investor who needs to make a definite decision whether to buy, hold or sell the stock. That is why we advocate the use of a Composite Valuation Indicator, which is derived from the best combination of the five indicators above. A Composite Valuation Indicator will give you ONE conclusion on whether a stock is under or over valued.
To find out more about our valuation methodology, click here.
We should not only be concerned about the amount of dividends, we should determine if the dividends paid out by the company are sustainable. One way to do that is to compare dividends paid out to the cash flows that the company is generating.
The company usually pays less dividends than its free cash flow, which is good.

Source of Data: Company description, historical financial statements data and price data are from gurufocus.com or moneycontrol.com. Estimates are from marketscreener.com – Thomson Reuters.
Disclaimer: This report is for information purposes only and should not be considered a solicitation to buy or sell any security. Neither ProThinker nor any other party guarantees its accuracy or makes warranties regarding results from its usage. Redistribution is prohibited without the express written consent of ProThinker. Copyright(c) 2018. All rights reserved.

Stock Valuation & Dividend Analysis: Banco Bilbao Vizcaya Argentaria SA (BBVA)

ProThinkerSeptember 6, 2018September 6, 2018All Banco Bilbao Vizcaya Argentaria Dividend Analysis Stock Valuation

Name of Company		Country of Origin/ Exchange Traded		Sector			Stock Price
BANCO BILBAO VIZCAYA ARGENTARIA SA		Spain/ XMAD		Financial Services – Banks – Banks – Global			EUR5.36
							@ 06 Sep 2018
COMPANY PROFILE		Banco Bilbao Vizcaya Argentaria SA is an diversified financial group providing retail banking, wholesale banking, asset management and private banking services. Its activities are located in Spain, Mexico, South America, the United States and Turkey. Banco Bilbao Vizcaya Argentaria is a customer-centric global financial services group founded in 1857. BBVA has a solid leadership position in Spain, it is the largest financial institution in Mexico, and it has substantial franchises in South America and the Sun Belt region of the United States.
Stock Code		BBVA
Stock Valuation and Dividend Analysis Below

For stocks that has a history of paying meaningful dividends, the stock price is often dependent on how much dividend the company pays.
At the price of EUR5.36 as at 06 Sep 2018, Banco Bilbao Vizcaya Argentaria SA is trading at a Dividend Yield of 5.5%. This is a 11.3% discount to its historical average Dividend Yield of 4.8%. (Note: The lower/higher the dividend yield, the more expensive/cheaper the stock is.)
Is the stock overvalued? One should not just look at one indicator to determine the fair value of a stock.
ProThinker believes in using a combination of valuation methods to decide whether a stock is over or undervalued? The five ratios we use are Price to Earnings, Price to Sales, Price to Cash Flow, Price to Book and Dividend Yield. We use multiple methods to value a stock because each has its benefits as well as shortcomings. Price to Earnings and Price to Cash Flow Ratios relate stock price to profitability but are meaningless when the comany has negative earnings or cash flows. Price to Sales Ratio is more stable because sales are never negative. However, this does not tell us whether the company is able to sell profitably. Price to Book Ratio gives us an indication as to how much we are paying for the company’s assets but it is not directly related to the company’s profitability. Dividend Yield cannot be used for companies that are paying little to no dividends.
While it is important to value stocks based on multiple valuation methods, this often leads to differing views on valuation. One indicator may suggest that a stock is overvalued while another suggest that it is undervalued. This does not help an investor who needs to make a definite decision whether to buy, hold or sell the stock. That is why we advocate the use of a Composite Valuation Indicator, which is derived from the best combination of the five indicators above. A Composite Valuation Indicator will give you ONE conclusion on whether a stock is under or over valued.
To find out more about our valuation methodology, click here.

There are times when the company pays out more dividends than its free cash flows it generates from operations, which is not sustainable.

Source of Data: Company description, historical financial statements data and price data are from gurufocus.com or moneycontrol.com. Estimates are from marketscreener.com – Thomson Reuters.
Disclaimer: This report is for information purposes only and should not be considered a solicitation to buy or sell any security. Neither ProThinker nor any other party guarantees its accuracy or makes warranties regarding results from its usage. Redistribution is prohibited without the express written consent of ProThinker. Copyright(c) 2018. All rights reserved.

Stock Valuation & Dividend Analysis: Stockland Corp Ltd (SGP)

ProThinkerSeptember 3, 2018September 3, 2018All Dividend Analysis Stockland Corp Stocks

Name of Company		Country of Origin/ Exchange Traded		Sector			Stock Price
STOCKLAND CORP LTD		Australia/ ASX		Real Estate – REITs – REIT – Diversified			AUD4.13
							@ 03 Sep 2018
COMPANY PROFILE		Stockland Corp Ltd develops and manages real estate projects. It invests in retail, office, logistics and office park properties as well as in residential properties and retirement living facilities. Stockland is a diversified property developer and investor. About 75% of EBIT is rental income from its Australian commercial property portfolio, split among retail (72% of the portfolio), office (8%), and industrial (20%). Residential and retirement living contribute 20% and 5% of EBIT, respectively. Low but stable growth is expected from the commercial portfolio. Residential will be the strongest near-term earnings driver, underpinned by price growth and improved affordability driving volume.
Stock Code		SGP
Stock Valuation and Dividend Analysis Below

For stocks that has a history of paying meaningful dividends, the stock price is often dependent on how much dividend the company pays.
At the price of AUD4.13 as at 03 Sep 2018, Stockland Corp Ltd is trading at a Dividend Yield of 6.5%. This is a 10.3% discount to its historical average Dividend Yield of 5.8%. (Note: The lower/higher the dividend yield, the more expensive/cheaper the stock is.)
Is the stock overvalued? One should not just look at one indicator to determine the fair value of a stock.
ProThinker believes in using a combination of valuation methods to decide whether a stock is over or undervalued? The five ratios we use are Price to Earnings, Price to Sales, Price to Cash Flow, Price to Book and Dividend Yield. We use multiple methods to value a stock because each has its benefits as well as shortcomings. Price to Earnings and Price to Cash Flow Ratios relate stock price to profitability but are meaningless when the comany has negative earnings or cash flows. Price to Sales Ratio is more stable because sales are never negative. However, this does not tell us whether the company is able to sell profitably. Price to Book Ratio gives us an indication as to how much we are paying for the company’s assets but it is not directly related to the company’s profitability. Dividend Yield cannot be used for companies that are paying little to no dividends.
While it is important to value stocks based on multiple valuation methods, this often leads to differing views on valuation. One indicator may suggest that a stock is overvalued while another suggest that it is undervalued. This does not help an investor who needs to make a definite decision whether to buy, hold or sell the stock. That is why we advocate the use of a Composite Valuation Indicator, which is derived from the best combination of the five indicators above. A Composite Valuation Indicator will give you ONE conclusion on whether a stock is under or over valued.
To find out more about our valuation methodology, click here.
We should not only be concerned about the amount of dividends, we should determine if the dividends paid out by the company are sustainable. One way to do that is to compare dividends paid out to the cash flows that the company is generating.
The company usually pays out more dividends than its funds from operations, which is not good.

Source of Data: Company description, historical financial statements data and price data are from gurufocus.com or moneycontrol.com. Estimates are from marketscreener.com – Thomson Reuters.
Disclaimer: This report is for information purposes only and should not be considered a solicitation to buy or sell any security. Neither ProThinker nor any other party guarantees its accuracy or makes warranties regarding results from its usage. Redistribution is prohibited without the express written consent of ProThinker. Copyright(c) 2018. All rights reserved.

Stock Valuation & Dividend Analysis: Scentre Group (SCG)

ProThinkerSeptember 1, 2018September 1, 2018All Dividend Analysis Scentre Group Stock Valuation

Name of Company		Country of Origin/ Exchange Traded		Sector			Stock Price
SCENTRE GROUP		Australia/ ASX		Real Estate – REITs – REIT – Retail			AUD4.11
							@ 01 Sep 2018
COMPANY PROFILE		Scentre Group is engaged in ownership, development, design and construction of real estate properties. It owns the largest portfolio of premium Australian and New Zealand shopping malls. Scentre Group owns the largest portfolio of premium Australian and New Zealand shopping malls, having an interest in 14 of the top 20 Australian malls and five of the top eight New Zealand malls. It owns stakes in 39 malls (34 in Australia and five in New Zealand), with a book value of AUD 36 billion and a 4.9% weighted-average rental yield. Income is predominantly passive, with the trust also periodically redeveloping assets.
Stock Code		SCG
Stock Valuation and Dividend Analysis Below

For stocks that has a history of paying meaningful dividends, the stock price is often dependent on how much dividend the company pays.
At the price of AUD4.11 as at 01 Sep 2018, Scentre Group is trading at a Dividend Yield of 5.4%. This is a 6.6% discount to its historical average Dividend Yield of 5.0%. (Note: The lower/higher the dividend yield, the more expensive/cheaper the stock is.)
Is the stock overvalued? One should not just look at one indicator to determine the fair value of a stock.
ProThinker believes in using a combination of valuation methods to decide whether a stock is over or undervalued? The five ratios we use are Price to Earnings, Price to Sales, Price to Cash Flow, Price to Book and Dividend Yield. We use multiple methods to value a stock because each has its benefits as well as shortcomings. Price to Earnings and Price to Cash Flow Ratios relate stock price to profitability but are meaningless when the comany has negative earnings or cash flows. Price to Sales Ratio is more stable because sales are never negative. However, this does not tell us whether the company is able to sell profitably. Price to Book Ratio gives us an indication as to how much we are paying for the company’s assets but it is not directly related to the company’s profitability. Dividend Yield cannot be used for companies that are paying little to no dividends.
While it is important to value stocks based on multiple valuation methods, this often leads to differing views on valuation. One indicator may suggest that a stock is overvalued while another suggest that it is undervalued. This does not help an investor who needs to make a definite decision whether to buy, hold or sell the stock. That is why we advocate the use of a Composite Valuation Indicator, which is derived from the best combination of the five indicators above. A Composite Valuation Indicator will give you ONE conclusion on whether a stock is under or over valued.
To find out more about our valuation methodology, click here.
We should not only be concerned about the amount of dividends, we should determine if the dividends paid out by the company are sustainable. One way to do that is to compare dividends paid out to the cash flows that the company is generating.
The company always pays less dividends than its funds from operations, which is very good.

Source of Data: Company description, historical financial statements data and price data are from gurufocus.com or moneycontrol.com. Estimates are from marketscreener.com – Thomson Reuters.
Disclaimer: This report is for information purposes only and should not be considered a solicitation to buy or sell any security. Neither ProThinker nor any other party guarantees its accuracy or makes warranties regarding results from its usage. Redistribution is prohibited without the express written consent of ProThinker. Copyright(c) 2018. All rights reserved.