April 26, 2013

If you no longer wish to receive this free newsletter, CLICK HERE to unsubscribe

The ValuEngine Weekly is an Investor Education newsletter focused on the quantitative approach to investing and the tools available from In today's fast-moving and globalized financial markets, it is easy to get overloaded with information. The winners will adopt an objective, scientific, independent and unemotional approach to investing. If you are not yet a member of ValuEngine's stock analysis service, sign up now for a two-week free trial at www.valuengine.com! ValuEngine.com.

VALUATION WATCH: Valuation Watch is OFF. MARKET OVERVIEW

Index
DJIA NASDAQ RUSSELL 2000 S&P 500

Week Open
14547.51 3217.4 914.27 1555.25

Thurs Close
14700.8 3289.99 940.28 1585.16

Change
153.29 72.59 26.01 29.91

% Change
1.05% 2.26% 2.84% 1.92%

YTD
12.18% 8.96% 10.71% 11.15%

Summary of VE Stock Universe

Stocks Undervalued Stocks Overvalued Stocks Undervalued by 20% Stocks Overvalued by 20% 41.85% 58.15% 16.68% 23.63%

SECTOR OVERVIEW
Sector
Aerospace Auto-Tires-Trucks Basic Materials Business Services Computer and Technology Construction Consumer Discretionary Consumer Staples Finance Industrial Products Medical Multi-Sector Conglomerates Oils-Energy Retail-Wholesale Transportation Utilities

Change
0.77% 1.38% 1.55% 0.75% 0.92% 1.09% 0.81% 0.36% 0.31% 0.36% 0.35% 0.39% 0.22% 0.79% -0.19% 0.35%

MTD
2.89% 2.93% -2.47% 40.18% -1.58% 0.49% 1.14% -1.62% 0.65% -1.37% -0.33% -0.58% -1.63% 2.96% -2.31% 2.33%

YTD
14.16% 10.37% 2.71% 54.38% 8.69% 19.76% 16.21% 9.50% 13.02% 12.49% 12.25% 4.45% 6.00% 20.31% 15.79% 9.27%

Valuation
11.14% overvalued 5.83% overvalued 11.02% undervalued 7.99% overvalued 9.08% overvalued 14.53% overvalued 9.33% overvalued 15.55% overvalued 15.15% overvalued 8.40% overvalued 8.77% overvalued 1.57% overvalued 2.70% overvalued 16.46% overvalued 15.23% overvalued 11.32% overvalued

Last 12MReturn
13.60% 8.03% -29.96% 14.08% 0.73% 32.73% 11.01% 11.48% 13.70% 5.29% 12.09% 12.11% -7.72% 19.38% 4.12% 9.39%

P/E Ratio
15.35 18.2 18.59 20.73 25.21 23.95 22.94 20.39 17.85 17.75 22.35 14.87 24.01 21.03 20.89 18.69

Sector TalkBusiness Services

Below, we present the latest data on leading Consumer Discretionary Sector stocks from our Institutional software package (VEI). These results were filtered by market price and volume--no results below 3$/share or less than 100k shares/day volume.

Top-Five Business Services Sector Stocks--Short-Term Forecast Returns

Ticker
INWK RECN PFMT NCI BID

Name
INNERWORKINGS RESOURCES CNCTN PERFORMANT FINL NAVIGANT CONSLT SOTHEBYS

Mkt Price
11.09 11.08 11.38 12.04 34.7

Valuation(%)
-5.44 -35.43 -10.28 -23.32 -30.68

Last 12-M Retn(%)

-2.72 -14.11 N/A -15.27 -4.8

Top-Five Business Services Sector Stocks--Long-Term Forecast Returns

Ticker
INWK RECN PFMT NCI BID

Name
INNERWORKINGS RESOURCES CNCTN PERFORMANT FINL NAVIGANT CONSLT SOTHEBYS

Mkt Price
11.09 11.08 11.38 12.04 34.7

Valuation(%)
-5.44 -35.43 -10.28 -23.32 -30.68

Last 12-M Retn(%)

-2.72 -14.11 N/A -15.27 -4.8

Top-Five Business Services Sector Stocks--Composite Score

Ticker
CLGX SFUN CXW KELYA RRD

Name
CORELOGIC INC SOUFUN HLDG-ADR CORRECTIONS CRP KELLY SVCS A DONNELLEY (RR)

Mkt Price
24.7 25.81 36.01 17 10.98

Valuation(%)
-9.46 3.22 -15.49 -6.91 -12.48

Last 12-M Retn(%)

54.38 41.35 30.47 23.19 -8.88

Top-Five Business Services Sector Stocks--Most Overvalued

Ticker
CAR EXAM SQI AHS SAI

Name
AVIS BUDGET GRP EXAMWORKS GROUP SCIQUEST INC AMN HLTHCR SVCS SAIC INC

Mkt Price
27.7 18.07 23.25 13.51 14.55

Valuation(%)
57.07 35.26 35.15 29.81 29.18

Last 12-M Retn(%)

128.17 47.75 58.7 114.79 20.95

Find out what Wall Street Investment and Media Professionals already know, ValuEngine offers sophisticated stock valuation and forecast research as well as a variety of portfolio screening and creation tools. If you are reading this you should sign up for ValuEngine's award-winning To Sign Up for a stock valuation and forecast FREE TRIAL, service Please Click HERE NO OBLIGATION, 30 DAY FREE TRIAL!

Free Download for Readers

As a bonus to our Free Weekly Newsletter subscribers, we are offering a FREE DOWNLOAD of one of our Detailed Stock Valuation Reports--this report is normally $25.00 This week's free download is our report onExxon Mobil (XOM). Exxon Mobil Corporation's principal business is energy, involving exploration for, and production of, crude oil and natural gas, manufacturing of petroleum products and transportation and sale of crude oil, natural gas and petroleum products. Exxon Mobil is a major manufacturer and marketer of basic petrochemicals, including olefins, aromatics, polyethylene and polypropylene plastics and a wide variety of specialty products. Exxon Mobil is engaged in exploration for, and mining and sale of coal, copper and other minerals. Read our Complete Detailed Valuation Report on Exxon Mobil HERE. (LINK IS WORKING/NEW LINK SYSTEM DIRECT DOWNLOAD)

What's Hot-Suttmeier Appearance

ValuEngine's Chief Market Strategist Richard Suttmeier has worked in the US Capital Markets for more than thirty-five years. Suttmeier has long been one of ValuEngine's "power users," supporting his own technically-focused analysis with VE's fundamentally-based quant methods. Suttmeier provides ValuEngine clients access to a series of in-depth custom reports on banking, commodities, and other areas, as well as his extensive knowledge of technical analysis and the financial markets in general. ATTENTION: ALL SOUTHEAST USA VALUENGINE USERS AND CLIENTS ValuEngine's top investment expert is appearing in your area.

We cordially invite you to join us for a FREE PRESENTATION: Investing in the US Capital Markets
Presented by the University of Tampa Investment Club in Association with ValuEngine Inc. April 29, 2013 8:30pm Vaughn Center 9th Floor 401 West Kennedy Boulevard Tampa, FL 33606 CLICK HERE to REGISTER

FDIC Report Posted

ValuEngine Chief Market Strategist Richard Suttmeier is an expert on the US Banking System and uses the health of the system as a leading economic indicator. He distills his thoughts on the banking system in our FDIC Report. The latest update of the report is now available. For the purposes of this report, problem banks are publicly traded FDIC insured financial institutions overexposed to Construction & Development Loans and/or Nonfarm nonresidential real estate loans, with 1-Engine--Strong Sell, or 2EngineSell. We also include all other engine-rated banks-- and those with n/a ratings but forecast figure data points according to our models-- in violation of FDIC guidelines vis-a-vis loan exposures. Those that are not covered by ValuEngine due to poor fundamentals or because there is no available EPS estimate but are still in violation of FDIC guidelines are also listed at the end of this section as a courtesy to our subscribers. As of April 24, 2013, there were 195 banks overexposed to C&D and/or CRE loans in the ValuEngine database. There were 102 banks overexposed to C&D and/or CRE loans with full forecast and valuation coverage. There were 93 additional overexposed banks with partial data coverage. Of these overexposed banks, six were rated 1-Engine Strong Sells, 14 were rated 2- Engine Sells, 162 were rated 3Engine Holds, 11 were rated a 4-Engine Buy, and none were rated a 5-Engine Strong Buy. This means that there are currently 20 banks rated Sell or Strong Sell that are also overexposed to C&D and/or CRE loans.

This table tracks bank ratings and the number of problems bank back to Q4 2009. We continue to see a huge improvement in the bank system as far as the list of problem banks is concerned.
Q4 2009
TOTAL BANKS STRONG SELL % SELL % HOLD % BUY % STRONG BUY % PROBLEM BANKS % 221 34.4 30.7 34.4 4.2 0.5 65.1

Q4 2010
245 23.8 23.5 44.2 2.7 0.0 47.3

Q4 2011
297 28.2 27.8 72.7 8.3 0.0 56.0

Q4 2012
203 1.3 5.4 51.7 9.1 0.0 6.7

April 2013
195 2.0 4.7 54.4 3.7 0.0 6.7

Our latest ValuEngine FDIC Report is now posted. The report contains loan exposure and/or ValuEngine datapoints on valuation, forecast, and ratings for all of the institutions on our List of Problem Banks.

Subscribers can download it HERE.

Others interested in the report may find out more on our website by clicking the image below.

Suttmeier Says
--Commentary and Analysis from Chief Market Strategist Richard Suttmeier
If you have any comments or questions, send them to Rsuttmeier@Gmail.com Treasury Yields 10-Year--(1.713) Annual, monthly and semiannual value levels are 1.981, 2.035, 2.476 and 3.063 with daily and weekly pivots at 1.713 and 1.698, and semiannual risky level at 1.413. Commodities and Forex Comex Gold ($1463.6) The 200-week SMA is $1437.9 with daily, weekly, annual, semiannual, monthly, quarterly and annual risky levels at $1471.7, $1490.8, $1599.9, $1719.2, $1723.4, $1808.3 and $1852.1. Nymex Crude Oil ($93.46) Daily, weekly and quarterly value levels are $91.28, $90.42 and $79.66 with monthly and annual risky levels at $98.93 and $115.23. The Euro (1.3012) Weekly, semiannual and quarterly value levels are 1.2843, 1.2797 and 1.2169 with a daily pivot at 1.3049, and annual and monthly risky levels at 1.3257 and 1.3668.

Major Indices Daily DOW (14,701) Semiannual, monthly, quarterly and annual value levels are 14,323, 14,286,13,755 and 12,696 with a daily pivot at 14,695, and weekly risky level at 15,025. Set its all time intraday high and closing highs at 14,887.51 and 14,865.14 on April 11, 2013. S&P 500 (1585.2) Quarterly and annual value levels are 1448.7 and 1348.3 with daily, monthly and semiannual pivots at 1584.0, 1565.8 and 1566.9, and weekly risky level at 1597.5 versus the all time high at 1597.35 set on April 11, 2013.

NASDAQ (3290) Daily, quarterly and annual value levels are 3172, 3106 and 2806 with a monthly pivot at 3289 and weekly risky level at 3302, and semiannual risky level at 3583. NASDAQ 100 (NDX) (2849) Daily, quarterly and annual value levels are 2829, 2819 and 2463 with a monthly pivot at 2839 and weekly risky levels at 2854, and the September 21, 2012 high at 2878.38. Dow Transports (6111) Annual and quarterly value levels are 5469 and 5324 with annual, monthly and semiannual pivots at 5925, 5960 and 5955, and daily and weekly risky levels at 6183 and 6297.The all time intra-day high is 6291.65 on March 19, 2013 and an all time closing high at 6281.24 on March 14, 2013. Russell 2000 (940.28) Annual and quarterly value levels are 860.25, 809.54 and 807.82 with a daily pivot at 937.90, and weekly, monthly and annual risky levels at 950.22, 958.79 and 965.51. Set a new all time intra-day high at 954.00 on March 15, 2013. The SOX (439.98) Daily, weekly, monthly, quarterly and annual value levels are 432.34, 430.08, 419.96. My semiannual risky level is 520.17 with the July 2007 high at 549.39. Stock of the Day One of the more popular features of Richard Suttmeier's Morning Briefing for investors is his stock of the day. In every issue, Suttmeier highlights one stock and provides VE data as well as his own proprietary technical data. Here is today's stock of the day from Richard Suttmeier's Morning Briefing Newsletter. Starbucks (SBUX) ($60.50) Starbucks Corporation purchases and roasts high-quality whole bean coffees and sells them along with fresh, rich-brewed, Italian style espresso beverages, a variety of pastries and confections, and coffee-related equipments primarily through its companyoperated retail stores. In addition to sales through its company-operated retail stores, Starbucks sells whole bean coffees through a specialty sales group and supermarkets. Additionally, Starbucks produces and sells bottled Frappuccino coffee drink and a line of premium ice creams through its joint venture partnerships and offers a line of innovative premium teas produced by its wholly owned subsidiary, Tazo Tea Company. The company's objective is to establish Starbucks as the most recognized and respected brand in the world.

Analysis Starbucks has a Buy rating according to ValuEngine with fair value at $58.92, which makes the stock 1.5% overvalued. The ValuEngine one-year price target is $63.76.The daily chart for SBUX shows rising momentum with the stock above its 21day, 50-day and 200-day simple moving averages at $58.22, $57.01 and $52.47. My semiannual value level is $49.88 with a monthly pivot at $60.63 and quarterly risky level at $63.10.

ValuEngine.com Tools and Services

We provide a variety of means for accessing ValuEngine market analysis and other content. You can find us on some of the leading financial media websites as well as the more popular social media services. While our own website ValuEngine.com provides access to lots of analysis--and you can always sign up to receive email daily and weekly bulletins HERE, some users prefer to download PDF reports of content while others prefer to garner info while browsing the web. Our Chief Market Strategist Richard Suttmeier is a prolific market observer and you can find his content in a variety of places. His weekly column on Forbes provides insights into his "Buy and Trade" strategy while his daily market analysis can be followed and accessed at Scribd, Twitter, and Minyanville. Senior Editor Steve Hach re-posts PDFs and web-accessible copies of Daily and Weekly ValuEngine bulletins at Seeking Alpha and Scribd. In most cases, you can receive notification of VE content posting by Suttmeier and Hach by following the ValuEngine feed on twitter @ValuEngine. Links for this content are provided below, you may also find these links on our website HERE Intelligent Investing with Richard Suttmeier Articles by Richard Suttmeier | Articles by Steve Hach Get short, timely messages from ValuEngine Inc Daily Bulletin PDFs, Weekly Newsletter PDFs, and PDF Research Reports