Valens Equity Weekly Insights and Inflections for October 29, 2019
Most Compelling Long Ideas
CRUS, PINC, CTSH, COF, EBAY
Most Compelling ECF™ Inflections
ABBV, POST, TTD, ACAD, MO
Company Specific Highlights & Insights:
APD, ADNT, ENTA, ENTG, FOXF, GM, IIVI, IOSP, IPGP, LCII, LL, MTW, ORCL, PII, PINC, STZ, SUM, WBT, X
Aggregate ECF™ Trend Analysis:
Management confidence levels appear to be gaining negative momentum, particularly in the last several months; breaking off their positive trend for two years. The ratio had consistently remained above 2016-2017 levels, however the recent inflection down may be a sign of management teams growing more uncertain about investing. In particular, this has been signified by a sustained rise in highly questionable markers, as opposed to a decline in management confidence.