Coca-Cola European Partners (NYSE:CCE)- Stocks Taking Toll on Investment Valuation: Ralph Lauren (NYSE:RL)

Coca-Cola European Partners Plc (NYSE:CCE) runs in leading trade, it slightly down -0.10% to traded at $31.37. CCE attains analyst recommendation of 2.40 on scale of 1-5 with week’s performance of -2.21%. Coca-Cola European Partners plc (CCEP) provides a 2017 business update and 2016 full-year outlook.

“Throughout the year, we have maintained a diligent focus on delivering our operating objectives for 2016, even as we worked to successfully complete our merger earlier this year,” said John F. Brock, chief executive officer. “The launch of CCEP creates a strong company that is better positioned to meet the challenges of recently’s marketplace, all with a goal of continuing to drive shareowner value.”

To find out the technical position of CCE, it holds price to book ratio of 2.22 that unearth high-growth companies selling at low-growth prices, but it requires appropriate measurement approach. It has forward price to earnings ratio of 14.40, and price to earnings ratio calculated as 14.77. The price to earnings growth ration calculated as 2.01. CCE is presenting price to cash flow of 41.88 and free cash flow concluded as 35.02.

EPS estimates indicating constrictive facts, the current year from sell-side analysts, Price to current year EPS stands at 13.70%, and looking further price to next year’s EPS is 8.40%. While take a short look on price to sales ratio, that was 1.81 and price to earning ration of 14.77 attracting passive investors.

Ralph Lauren Corporation (NYSE:RL) kept active in under and overvalue discussion, RL holds price to book ratio of 2.08 that presents much better indicator to find market price of a share price over its book value of equity for investment valuation. In addition, the firm has price to earnings ratio of 39.25, which is authentic method to judge but not universal for all situation.

Fundament/ News Factor in Focus

Taking look on ratio analysis, RL has forward price to earnings ratio of 15.26, compare to its price to earnings ratio of 39.25. Adding one more ration to find detail valuation of security, price to earnings growth ration that stands at 5.72. The co is presenting price to cash flow as 7.73 and while calculating price to free cash flow it concluded at 22.88, the low single digit may indicate stock is undervalued and vice versa. On other hand, keeping in mind stable cash flows but few growth prospects make traders to value lower.

The firm has price volatility of 1.84% for a week and 2.47% for a month. Its beta stands at 0.92 times. Narrow down four to firm performance, its weekly performance was 0.10% and monthly performance was -13.18%.

 

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