November 2014 Country Rankings
November 12, 2014 · by David A · Filed under Monthly Portfolio Notes
Notable Moves to the Upside…
- China… moved back to the top of the rankings after showing improving risk and valuation. They are now the cheapest country in the model. China has a forward P/E of 8.8 and a Growth to P/E Ratio that is double the average country.
- Thailand… jumped 8 spots and is currently ranked 3rd overall. Thailand trails only India in their momentum ranking. Over the last 9 months, the Thai market is up 24.78% in local currency.
Notable Moves to the Downside…
- Italy… is now the worst ranked country in the model and is negative in all four factor groups. Italy is fundamentally weak with no real internal growth and decelerating OECD leading indicators. They are also very expensive with a trailing P/E of 32.1.
- Chile… fell in the rankings and is currently ranked 30th overall. Fundamentals continued to weaken in Chile where the Earnings Per Share (EPS) trend was already negative.