Today, we have shortlisted 11 U.S. stocks across sectors that have registered low degree (<3%) of operating leverage (i.e., how sensitive is operating income to a percent change in number of units sold) and low degree (<1%) of financial leverage (i.e. how sensitive is the net income to a percent change in operating income) during fiscal year 2013. Moreover, these stocks offer attractive return on equity estimates (>15%) for fiscal year 2014.
|
Company Name |
Ticker |
Exchange |
Sector |
Market Cap |
Last Price |
Average Volume |
Price Change |
DOL |
ROE 2014(E) |
|
Raven Industries Inc |
RAVN |
NASDAQ |
Industrial |
891.2 |
24.42 |
117,333 |
-16.3% |
0.4% |
19.5% |
|
InvenSense Inc |
INVN |
NYSE |
Industrial |
1,787.3 |
20.11 |
3,115,606 |
-14.1% |
0.6% |
15.9% |
|
EPAM Systems Inc |
EPAM |
NYSE |
Technology |
2,233.5 |
46.91 |
399,181 |
21.2% |
0.6% |
21.8% |
|
Myriad Genetics Inc |
MYGN |
NASDAQ |
Healthcare |
2,705.3 |
37.06 |
776,084 |
2.6% |
1.1% |
19.1% |
|
Phillips 66 Partners LP |
PSXP |
NYSE |
Energy |
4,790.0 |
64.76 |
153,464 |
-2.0% |
1.6% |
33.1% |
|
Meridian Bioscience Inc |
VIVO |
NASDAQ |
Healthcare |
753.2 |
18.12 |
237,369 |
-9.6% |
1.9% |
22.4% |
|
Spirit Airlines Inc |
SAVE |
NASDAQ |
Consumer Discretionary |
4,828.2 |
66.37 |
1,057,373 |
-2.0% |
2.4% |
25.0% |
|
Jumei International Holding Ltd |
JMEI |
NYSE |
Consumer Discretionary |
3,133.1 |
21.89 |
1,039,585 |
-27.7% |
2.6% |
18.3% |
|
CommVault Systems Inc |
CVLT |
NASDAQ |
Technology |
1,980.3 |
43.70 |
636,483 |
-11.4% |
2.9% |
22.7% |
|
USANA Health Sciences Inc |
USNA |
NYSE |
Healthcare |
1,103.5 |
84.99 |
135,132 |
22.0% |
1.8% |
27.9% |
|
Thor Industries Inc |
THO |
NYSE |
Consumer Discretionary |
2,727.8 |
51.15 |
318,375 |
-3.0% |
1.6% |
21.1% |
Source: Bloomberg
DOL: Degree of Operating Leverage
Company Description
Raven Industries Inc (NASDAQ: RAVN)
Raven Industries manufactures precisions agriculture products and information tools including GPS, field computers, assisted-steering systems and other field management technology. The company manufactures high-performance plastic films and sheeting for industrial applications. Raven also provides balloons, inflatables, and industrial controls.
InvenSense Inc (NYSE: INVN)
InvenSense Inc. provides micro-electromechanical gyroscopes for motion processing in consumer electronics. The company offers devices for applications in game controllers, mobile handsets, digital still and video cameras, 3D remote controls, and portable navigation devices. InvenSense operates throughout the United States and worldwide.
EPAM Systems Inc (NYSE: EPAM)
EPAM Systems, Inc. provides software development, outsourcing services, e-business, enterprise relationship management, and content management solutions.
Myriad Genetics Inc (NASDAQ: MYGN)
Myriad Genetics, Inc. develops and markets molecular diagnostic products to provide physicians with information to help guide the care of their patients, to prevent disease, delay the onset of disease, or catch disease at an early stage.
Phillips 66 Partners LP (NYSE: PSXP)
Phillips 66 Partners L.P owns, operates, develops and acquires crude oil, refined petroleum product and natural gas liquids (“NGL”) pipelines and terminals and other transportation and midstream assets. The company’s assets consist of crude oil and refined petroleum product pipeline, terminal and storage systems in the Central and Gulf Coast regions of the United States.
Meridian Bioscience Inc (NASDAQ: VIVO)
Meridian Bioscience, Inc. manufactures, markets, and distributes diagnostic test kits, purified reagents, and related products. The company also offers biopharmaceutical enabling technologies. Meridian specializes in gastrointestinal and upper respiratory infections, serology, parasitology, and fungal disease diagnosis, as well as rare reagents and specialty biologicals.
Spirit Airlines Inc (NASDAQ: SAVE)
Spirit Airlines Inc. is a low-fare airline based in Miramar, Florida. The Airline provides low-cost travel opportunities principally to and from South Florida, the Caribbean and Latin America. Spirit Airlines basic service combines with a range of optional services for additional fees, targets price sensitive leisure travelers and travelers visiting friends and relatives.
Jumei International Holding Ltd (NYSE: JMEI)
Jumei International Holding Ltd is an online retailer of beauty products.
CommVault Systems Inc (NASDAQ: CVLT)
CommVault Systems, Inc. provides data management software applications and related services. The company develops, markets, and sells a suite of data management software applications designed to protect and manage data throughout its lifecycle.
USANA Health Sciences Inc (NYSE: USNA)
USANA Health Sciences, Inc. develops manufactures, and markets nutritionals, personal care, and weight management products. The company’s products are sold directly to preferred customers and distributors throughout the United States, Canada, Australia, New Zealand, the United Kingdom, and Hong Kong.
Thor Industries Inc (NYSE: THO)
Thor Industries, Inc. produces and sells a wide range of recreation vehicles, as well as small and mid-size buses. The company markets its products through independent dealers located throughout the United States and Canada. Thor’s products are sold under the Airstream Classic, Dutchmen, Skamper, Infinity, Four Winds, Citation, Signature, and other names.
