News

The following are the top rated Consumer Discretionary stocks according to Validea's Earnings Yield Investor model based on the published strategy of Joel Greenblatt. This value model looks for companies with high return on capital and earnings yields.

CROCS, INC. (CROX) is a mid-cap value stock in the Footwear industry. The rating according to our strategy based on Joel Greenblatt is 90% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.

Company Description: Crocs, Inc. is engaged in the design, development, marketing, distribution, and sale of casual lifestyle footwear and accessories for women, men and children. The Company's Crocs Brands collection contain Croslite material, a proprietary, molded footwear technology. The Company's segments includes North America for the Crocs Brand, operating throughout the United States of America (US) and Canada; Asia Pacific for the Crocs Brand, operating throughout Asia, Australia, and New Zealand; Europe, Middle East, Africa, and Latin America (EMEALA) for the Crocs Brand; and (iv) the HEYDUDE Brand. The Company sells its products in approximately 85 countries, through two distribution channels: wholesale and direct-to-consumer. Its wholesale channel includes domestic and international multi-brand retailers, mono-branded partner stores, e-tailors and distributors. Its direct-to-consumer channel includes Company-operated retail stores, Company-operated e-commerce sites and third-party marketplaces.

The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.

Detailed Analysis of CROCS, INC.

BRUNSWICK CORPORATION (BC) is a mid-cap value stock in the Misc. Capital Goods industry. The rating according to our strategy based on Joel Greenblatt is 70% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.

Company Description: Brunswick Corporation designs, manufactures and markets recreational marine products, including marine propulsion products and boats, as well as parts and accessories for the marine and RV markets. It has three segments. Propulsion segment manufactures and markets a full range of outboard, sterndrive, and inboard engines, as well as propulsion-related controls, rigging, and propellers. Parts & Accessories segment includes engine parts and consumables, such as oils and lubricants, electrical products, boat parts and systems, and its distribution businesses. The Boat segment manufactures and distributes recreational boats, including sport boats and cruisers, runabouts, fiberglass offshore boats and fishing boats, aluminum fishing, utility, pontoon and deck boats, tow/wake boats, and heavy-gauge aluminum boats. Boat segment also includes Business Acceleration, which operates Freedom Boat Club, dealer financing and ancillary services, and develops other emerging marine business models.

The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.

Detailed Analysis of BRUNSWICK CORPORATION

CAPRI HOLDINGS LTD (CPRI) is a mid-cap value stock in the Apparel/Accessories industry. The rating according to our strategy based on Joel Greenblatt is 60% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.

Company Description: Capri Holdings Limited is a holding company. The Company owns brands that are designers, marketers, distributors and retailers of branded women's and men's accessories, footwear and ready-to-wear bearing the Versace, Jimmy Choo and Michael Kors tradenames and related trademarks and logos. It operates in three reportable segments: Versace, Jimmy Choo and Michael Kors. Versace segment is engaged in the sale of Versace products through retail stores (including concessions) and e-commerce sites, through wholesale doors (including multi-brand stores). Jimmy Choo segment is engaged in the sale of Jimmy Choo products through retail stores (including concessions) and e-commerce sites, through wholesale doors (including multi-brand stores). Michael Kors segment is engaged in the sale of Michael Kors products through retail stores (including concessions) and e-commerce sites, through wholesale doors. It sells its products through three channels of distribution: retail, wholesale and licensing.

The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.

Detailed Analysis of CAPRI HOLDINGS LTD

BEST BUY CO INC (BBY) is a large-cap value stock in the Retail (Specialty) industry. The rating according to our strategy based on Joel Greenblatt is 50% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.

Company Description: Best Buy Co., Inc. is engaged in personalizing and humanizing technology solutions. The Company operates through two segments: Domestic and International. Domestic segment is comprised of its operations in all states, districts and territories of the United States and its Best Buy Health business, and includes the brand names Best Buy, Best Buy Ads, Best Buy Business, Best Buy Health, CST, Current Health, Geek Squad, Lively, Magnolia, Pacific Kitchen and Home, TechLiquidators and Yardbird and the domain names bestbuy.com, currenthealth.com, lively.com, techliquidators.com and yardbird.com. International segment is comprised of all operations in Canada under the brand names Best Buy, Best Buy Mobile and Geek Squad and the domain name bestbuy.ca. Domestic and International segments product categories include Computing and Mobile Phones, Consumer Electronics, Appliances, Entertainment, Services and Other. Computing and Mobile Phones category includes computing, mobile phones, and others.

The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.

Detailed Analysis of BEST BUY CO INC

ULTA BEAUTY INC (ULTA) is a large-cap growth stock in the Retail (Specialty) industry. The rating according to our strategy based on Joel Greenblatt is 30% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.

Company Description: Ulta Beauty, Inc. (Ulta Beauty) conducts its business as a specialty beauty retailer. The Company operates specialty retail stores, which are engaged in selling cosmetics, fragrance, haircare and skincare products, and related accessories and services. The stores also feature full-service salons. Its stores, e-commerce Website, and mobile applications offer approximately 25,000 products across various categories and price points, including Ulta Beauty's own private label and the Ulta Beauty Collection. Ulta Beauty offers a portfolio across six categories: cosmetics; haircare products and styling tools; skincare; fragrance and bath; services; and accessories and other. The Company also provides private-label and co-branded credit card programs, loyalty programs, and gift cards. It offers a full range of beauty services in its stores, focusing on hair, makeup, brow, and skin services. The Company operates approximately 1,355 stores across 50 states.

The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.

Detailed Analysis of ULTA BEAUTY INC

About Joel Greenblatt: In his 2005 bestseller The Little Book That Beats The Market, hedge fund manager Joel Greenblatt laid out a stunningly simple way to beat the market using two -- and only two -- fundamental variables. The "Magic Formula," as he called it, produced back-tested returns of 30.8 percent per year from 1988 through 2004, more than doubling the S&P 500's 12.4 percent return during that time. Greenblatt also produced exceptional returns as managing partner at Gotham Capital, a New York City-based hedge fund he founded. The firm averaged a remarkable 40 percent annualized return over more than two decades.

About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.