Most of us have heard the dictum "the trend is your friend." And this is undeniably the key to success when it comes to short-term investing or trading. But it isn't easy to ensure the sustainability of a trend and profit from it.Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate revisions, etc. -- ...

Core Viewpoint - The article emphasizes the importance of identifying and sustaining stock price trends for successful short-term investing, highlighting Marubeni Corp. (MARUY) as a strong candidate for trend investing due to its recent performance and positive fundamentals [1][3]. Price Movement - Marubeni Corp. has experienced a significant price increase of 42.8% over the past 12 weeks, indicating strong investor interest and potential upside [4]. - The stock has also shown a price increase of 0.7% over the last four weeks, suggesting that the upward trend is still intact [5]. Trading Range - Currently, Marubeni Corp. is trading at 94% of its 52-week high-low range, indicating it may be on the verge of a breakout [5]. Fundamental Strength - The stock holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, which are critical for near-term price movements [6]. - Additionally, the Average Broker Recommendation for Marubeni Corp. is also 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term performance [7]. Additional Insights - The article suggests that there are other stocks passing through the "Recent Price Strength" screen, which may also present investment opportunities [8]. - It highlights the importance of backtesting stock-picking strategies to ensure they have produced profitable results in the past [9].

Market Overview - The stock market has shown resilience in June following a significant rally from April lows, with the Nasdaq and S&P 500 maintaining their positions ahead of the second quarter earnings season starting in mid-July [1] - The bullish sentiment is supported by ongoing trade war progress, controlled inflation, and growing corporate earnings [1] Investment Strategy - Investors are encouraged to remain engaged with the market and continue purchasing stocks, even amid bearish sentiment [2] - A recommended approach for stock selection in June includes targeting companies with improving earnings outlooks that achieve a Zacks Rank 1 (Strong Buy) and demonstrate efficient profit generation [2] Return on Equity (ROE) - ROE is a critical metric for assessing a company's ability to generate profits from shareholder equity, calculated as net income divided by shareholder's equity [3] - A higher ROE indicates effective management in creating value and controlling costs, while a decline in ROE may signal potential issues [4] Stock Screening Criteria - The screening process includes several parameters: - Zacks Rank equal to 1, indicating strong earnings estimate revisions [4] - Stock price greater than or equal to $5 to avoid volatility [5] - Price/Sales Ratio less than or equal to 1 for better value [6] - Broker Rating of Strong Buy equal to 100% [7] - ROE greater than or equal to 10% to filter out underperforming companies [7] Company Spotlight: Marubeni - Marubeni (MARUY) is a Japanese trading and investment conglomerate involved in a diverse range of products and services across nearly 70 countries [9] - The stock has appreciated 250% over the past decade, outperforming the S&P 500's 200% increase, and is currently trading at a 35% discount to its sector [10] - Marubeni's ROE stands at 13.5%, significantly higher than the industry average of 3.13%, and it offers a dividend yield of 2.71% [11]

Group 1 - Marubeni has experienced a significant rally of over 35% since March 2023 [1] Group 2 - The analyst has a background in IT and focuses on providing differentiated insights for investing and trading [2] - The analyst emphasizes a moderate approach to investment, particularly after experiencing losses during the Global Financial Crisis [2] - The analyst covers various themes including automated supply chains, Generative AI, and the deflationary nature of software [2]

Group 1 - Exxon Mobil Corporation (XOM) has signed a long-term agreement with Japanese trading house Marubeni for the supply of 250,000 metric tons per year of low-carbon ammonia, marking its first customer agreement related to its planned hydrogen facility in Baytown, TX [1][2] - Marubeni will also acquire a stake in the Baytown hydrogen facility, although the specific percentage of the stake has not been disclosed [2] - The agreement is a significant advancement for ExxonMobil's plans to develop the largest low-carbon hydrogen facility at its chemical complex in Baytown, despite previous setbacks [3] Group 2 - The low-carbon hydrogen facility is expected to produce approximately 1 billion cubic feet per day (Bcf/d) of low-carbon hydrogen, with the final investment decision (FID) planned for this year, contingent on supportive government policies and regulatory approvals [5] - Hydrogen can be produced using natural gas, and ammonia serves as a carrier for hydrogen, allowing for long-distance transportation in liquid form [4] - The production process will include capturing and storing carbon dioxide in underground storage units to align with low-carbon initiatives [4]

Group 1 - The article focuses on the Asia Value & Moat Stocks research service, which targets value investors looking for Asia-listed stocks with significant discrepancies between price and intrinsic value [1] - The service emphasizes deep value balance sheet bargains, such as net cash stocks and low price-to-book (P/B) stocks, as well as wide moat stocks that represent high-quality businesses [1] - The author provides a range of watch lists with monthly updates, specifically concentrating on investment opportunities in the Hong Kong market [1]

Core Insights - Marubeni Corp. (MARUY) is currently rated as a 2 (Buy) by Zacks, while Danaher (DHR) holds a 4 (Sell) rating, indicating a stronger earnings outlook for MARUY compared to DHR [3] - Value investors assess a range of traditional metrics to determine if a stock is undervalued, beyond just earnings outlook [3] Valuation Metrics - MARUY has a forward P/E ratio of 7.51, significantly lower than DHR's forward P/E of 30.63, suggesting MARUY may be undervalued [5] - The PEG ratio for MARUY is 2.15, while DHR's PEG ratio is 4.58, indicating that MARUY has a more favorable valuation relative to its expected earnings growth [5] - MARUY's P/B ratio stands at 1.03, compared to DHR's P/B of 3.53, further supporting the notion that MARUY is a better value option [6] Overall Assessment - Based on the solid earnings outlook and favorable valuation metrics, MARUY is considered the superior value option compared to DHR at this time [7]

Group 1 - Marubeni Corporation is involved in several commodity-related businesses and has maintained stability in its earnings, particularly in the minerals sector [1] - The Value Lab, led by Marubeni Corporation, focuses on long-only value investment ideas, aiming for a portfolio yield of approximately 4% [1] - The Value Lab provides members with real-time updates, market news reports, feedback on stock ideas, and regular trade updates [1] Group 2 - The Valkyrie Trading Society consists of analysts who share high conviction investment ideas that are expected to generate non-correlated and outsized returns [2] - The society operates as long-only investors, focusing on developed market opportunities that are downside limited [2]

Group 1 - SK Telecom Co., Ltd (SKM) has seen a 7.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Ferrari N.V. (RACE) has experienced a 6.9% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Okta, Inc. (OKTA) has reported a 7.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - M/I Homes, Inc. (MHO) has seen a 7.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - Marubeni Corporation (MARUY) has experienced an 8.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2]

Group 1 - SK Telecom Co., Ltd (SKM) has seen a 7.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - SK Telecom has a dividend yield of 4.5%, significantly higher than the industry average of 1.9% [1] - Marubeni Corporation (MARUY) has experienced an 8.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - Marubeni has a dividend yield of 2.6%, compared to the industry average of 0.0% [2] - NEXT plc (NXGPY) has seen nearly a 7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - NEXT has a dividend yield of 2.5%, also higher than the industry average of 0.0% [3]