Value Line, Inc. Is A Wise Investment

The consumer cycliclal sector includes twenty-eight industries ranging from Advertising Agencies to Apparel, Autos, Broadcasting, Department Stores, Footwear, Gambling, Leisure, Lodging, Packaging, Personal Services, Restaurants, Rubber, Plastics, & Textiles, and all such consumer aimed enterprises.

Today I'm reviewing a Small-Cap U.S.-based investment publishing company.

The company's name is Value Line, Inc. It's trading ticker symbol is VALU.  

Value Line, Inc. produces investment periodicals based on underlying research and making available copyright data, including ranking system and other information, to third parties under written agreements.

The company offers comprehensive research services. It also provides niche newsletters comprising that offer information on a less comprehensive basis.

Further, it places advertising on behalf of the company's publications; and provides subscription fulfillment and subscriber relation services. 

The company serves individual and professional investors, as well as institutions, including municipal and university libraries, and investment firms. 

Value Line, Inc. was founded in 1931 and is headquartered in New York, New York. Value Line, Inc. is a subsidiary of Arnold Bernhard & Co, Inc. 

I use three key data points gauge the value of any dividend equity or fund like Value Line, Inc.: 

(1) Price

(2) Dividends

(3) Returns

After those three, four more keys will finally unlock an equity or fund in which to invest. 

No matter what, it's the first three primary traits that best tell whether a company has made, is making, and will make money. 

VALU Price

Value Line's price was $20.20 per share at Friday's market close.  A year ago its price was $18.30 for a gain of $1.90 per share in the past year.  

Assuming Value Line's price will continue to trade in the range of $16.00 to $23.00 next year, its price could grow another $1.90 from $20.20 to $22.10 by mid- May 2019. 

VALU Dividends

Value Line's most recently declared quarterly dividend was $0.19 per share declared in April and paid in May.  That $0.19 Q dividend equates to an annual payout of $0.76  for 2018 and yields 3.76% at Friday's $20.20 closing stock price.

Gains For VALU?

The $1.90 estimated year over year price gain plus an anticipated dividend of  $0.76 makes a projected gross annual gain of $2.66 per share, which will be reduced by the costs to trade these shares.  

$1,000.00 invested today at the $20.20 price buys 50 shares. 

A $10 broker fee paid half at purchase and half at sale subtracts  $0.20 per share.

Taking that $0.20 brokerage cost out of the estimated $2.66 gross gain per share leaves a net gain of $2.46 X 50 shares 

= $123.00

or a 12.2% potential net gain on a $1,010.00 investment.

Therefore, Value Line, Inc. (whose ticker symbol is VALU), now shows a possible 12.2% net gain including a 3.76% dividend yield. 

ONE analyst covers this stock. 

She says "hold."

Y Charts rates Value Line "attractive" as for an overall "Y" rating. Also, Y Charts shows "Good" for a Value score of 9 out of ten points. And YCharts also ranks VALU "strong" weak with 7 out of 10  possible Fundamental points, and shows a  Historic Valuation score as 21.57% undervalued, based on a $25.75 historic value multiple.

You could look at all those numbers like this: Value Line, Inc, has made money, is making money, and could net a 12.2% net gain next year including  3.76% dividend yield. It could be more, it could be less.

Those forward-looking numbers were conjecture based on past year performance. Actual results remain to be seen.  They could turn out to be far higher or lower. More study is required for you to determine if Value Line, Inc, is worth your time and money.

Disclaimer: For more information and to get a two-week free sample of my stock portfolios just click on this link. Click ...

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