This week the Valens Research team highlights our most interesting equity insight from across our tools and our analysis. HIG is seeing operational and macro improvements, combined with a strong management team and growing operational confidence that insure equity upside

Facebook, Inc. (FB:USA) currently trades above historical averages relative to UAFRS-based (Uniform) Earnings, with a 24.8x Uniform P/E. Even at these levels, markets are pricing in extremely bearish expectations for the firm, and while management concerns about privacy and safety investments, government regulation, and expenses suggest the potential for near-term headwinds, the firm’s leadership position in its space and lack of management concern about user adoption rates suggest longer-term upside remains warranted

Baozun Inc. (BZUN:USA) currently trades at historical highs relative to UAFRS-based (Uniform) Earnings, with a 29.4x Uniform P/E. However, even at these levels, the market has bearish expectations for the firm, while management is confident in their same-store sales growth and ability to serve domestic brands

Each week, the Valens Research team highlights our most interesting insights from across our tools and our analysis, including individual company, industry, and macro insights. Top Highlight: The Home Depot, Inc. Other Highlights: CME, DE, TSLA Other Recent Analyses: ADP, AL, BKNG, BLK, CF, EOG, EPD, HFC, INTU, ISRG, OXY, PVH, SO, SPGI, SUI, SUM, SYK

NIKE, Inc. (NKE:USA) currently trades at historical peaks relative to UAFRS-based (Uniform) Earnings, with a 29.9x Uniform P/E, implying bullish expectations for the firm, and management is confident in the Nike App retail sales, NikePlus membership product customization, and Express Lane initiative

Each week, Valens focuses on several companies that were analyzed in the prior week, where material distortions caused by as-reported GAAP accounting need to be corrected to understand a company’s economic fundamentals.
The Kraft Heinz Company (KHC), Herbalife Nutrition Ltd.(HLF), New Media Investment Group Inc. (NEWM)

S&P Global Inc. (SPGI:USA) currently trades near historical highs relative to UAFRS-based (Uniform) Earnings with a 31.7x Uniform P/E. At these levels, the market has bullish expectations for the firm, and management is confident in the potential of their Chinese subsidiary, free cash flow and EPS growth, and data quality

This week the Valens Research team highlights our most interesting equity insight from across our tools and our analysis. MasTec is building a high visibility, strong return business, and management is confident about their outlook and strategy, even while markets have a far less constructive outlook, warranting equity upside

Deere & Company (DE:USA) currently trades near recent averages relative to UAFRS-based (Uniform) Earnings, with a 16.7x Uniform P/E. At these levels, the market has bullish expectations for the firm, but management may be concerned about the sustainability of equipment demand, their agriculture and turf margin forecast, and their financing segment offerings

The Home Depot, Inc. (HD:USA) near recent averages relative to UAFRS-based (Uniform) Earnings, with a 22.4x Uniform P/E. At these levels, the market has bullish expectations for the firm, but management may be concerned about comp sales growth, their Pro customer experience, and B2B website

Tesla, Inc. (TSLA:USA) currently trades near historical lows relative to UAFRS-based (Uniform) Assets, with a 2.9x Uniform P/B. At these levels, the market has somewhat muted expectations for the firm, while management has concerns about Chinese distribution, Gigafactory production, customer satisfaction, and their ability to price the Model 3

Each week, the Valens Research team highlights our most interesting insights from across our tools and our analysis, including individual company, industry, and macro insights. Top Highlight: Constellation Brands, Inc. Other Highlights: LOW, VMC, ZM Other Recent Analyses: ACN, BMRN, CELG, DUK, ORCL, PD, PINS, QCOM, RECN, STZ, TMUS 

CME Group Inc. (CME:USA) currently trades near historical highs relative to UAFRS-based (Uniform) Assets, with a 43.4x Uniform P/E. At these levels, markets have bullish expectations for the firm, but management has concerns about contract volume and the NEX acquisition integration

Each week, Valens focuses on several companies that were analyzed in the prior week, where material distortions caused by as-reported GAAP accounting need to be corrected to understand a company’s economic fundamentals. Live Nation Entertainment, Inc. (LYV),Monotype Imaging Holdings, Inc. (TYPE),Ellie Mae, Inc. (ELLI)

This week the Valens Research team highlights our most interesting equity insight from across our tools and our analysis. CVS is transforming their business and the health market, and current low market expectations do not recognize the company strategy, strong management alignment, and growing management confidence that justify upside

Pinterest, Inc. (PINS:USA) Assuming a $16 share price, the midpoint of current price ranges, and an anticipated 529 million shares outstanding, Pinterest, Inc. (PINS:USA) will IPO with valuations well above corporate averages relative to UAFRS-based (Uniform) Earnings, with a 37.1x Uniform P/E. At these levels, the market is pricing in expectations for Uniform ROA to expand from 8% in 2018 to 29% through 2023, towards the high end of mature peer levels, accompanied by 6% Uniform Asset growth going forward

Each week, the Valens Research team highlights our most interesting insights from across our tools and our analysis, including individual company, industry, and macro insights. Top Highlight: Beazer Homes USA, Inc. Other Highlights: BYND, HCKT, LYFT Other Recent Analyses: AMKR, AMT, BBY, BIIB, CCL, DNR, FORR, LEVI, LLL, MDLZ, NCI, PAYX, PRFT, SBAC, SITE

Lowe’s Companies, Inc. (LOW:USA) currently trades above historical averages relative to UAFRS-based (Uniform) Earnings, with a 26.7x Uniform P/E. At these levels, the market has bullish expectations for the firm, but management has concerns about their ability to improve underperforming categories, manage distribution and store inventory, and successfully reduce SG&A leverage

Each week, Valens focuses on several companies that were analyzed in the prior week, where material distortions caused by as-reported GAAP accounting need to be corrected to understand a company’s economic fundamentals.
John Wiley & Sons, Inc. (JW.A), Ambarella, Inc. (AMBA), Huron Consulting Group Inc. (HURN)

Lyft, Inc. (LYFT:USA) currently trades well above corporate averages relative to UAFRS-based (Uniform) Assets, with a 21.2x Uniform P/B. At these levels, the market is pricing in expectations for Uniform ROA to materially expand, and inflect positively, improving from -117% in 2018 to 32% in 2023