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Village Super Market Inc (NAS:VLGEA)
Piotroski F-Score
6 (As of Today)

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Village Super Market Inc has an F-score of 6 indicating the company's financial situation is typical for a stable company.

VLGEA' s 10-Year Piotroski F-Score Range
Min: 3   Max: 9
Current: 6

3
9

During the past 13 years, the highest Piotroski F-Score of Village Super Market Inc was 9. The lowest was 3. And the median was 6.


Definition

How is the Piotroski F-Score calculated?

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

This Year (Oct14) TTM:Last Year (Oct13) TTM:
Net Income was 2.818 + 3.188 + 5.87 + 3.879 = $16 Mil.
Cash Flow from Operations was 33.303 + 4.757 + 16.602 + 0.051 = $55 Mil.
Revenue was 392.241 + 372.511 + 396.838 + 379.744 = $1,541 Mil.
Gross Profit was 105.358 + 100.437 + 108.997 + 102.803 = $418 Mil.
Average Total Assets from the begining of this year (Oct13)
to the end of this year (Oct14) was
(432.492 + 444.951 + 440.858 + 457.412 + 450.853) / 5 = $445.3132 Mil.
Total Assets at the begining of this year (Oct13) was $432 Mil.
Long-Term Debt was $45 Mil.
Total Current Assets was $158 Mil.
Total Current Liabilities was $137 Mil.
Net Income was 9.104 + 4.622 + 6.203 + -6.831 = $13 Mil.

Revenue was 382.175 + 359.808 + 376.323 + 357.046 = $1,475 Mil.
Gross Profit was 102.92 + 97.314 + 101.889 + 93.706 = $396 Mil.
Average Total Assets from the begining of last year (Oct12)
to the end of last year (Oct13) was
(416.551 + 418.186 + 414.933 + 427.412 + 432.492) / 5 = $421.9148 Mil.
Total Assets at the begining of last year (Oct12) was $417 Mil.
Long-Term Debt was $41 Mil.
Total Current Assets was $196 Mil.
Total Current Liabilities was $124 Mil.

Profitability

Q1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Village Super Market Inc's current net income (TTM) was 16. ==> Positive ==> Score 1.

Q2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Village Super Market Inc's current cash flow from operations (TTM) was 55. ==> Positive ==> Score 1.

Q3. Change in Return on Assets

Compare this year’s return on assets (1) to last year’s return on assets.

Score 1 if it’s higher, 0 if it’s lower.

ROA (This Year)=Net Income (TTM)/Total Assets at the Beginning of This Year (Oct13)
=15.755/432.492
=0.03642842

ROA (Last Year)=Net Income (TTM)/Total Assets at the Beginning of Last Year (Oct12)
=13.098/416.551
=0.03144393

Village Super Market Inc's return on assets of this year was 0.03642842. Village Super Market Inc's return on assets of last year was 0.03144393. ==> This year is higher. ==> Score 1.

Q4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Village Super Market Inc's current net income (TTM) was 16. Village Super Market Inc's current cash flow from operations (TTM) was 55. ==> 55 > 16 ==> CFROA > ROA ==> Score 1.

Funding

Q5. Change in Gearing or Leverage

Compare this year’s gearing (long-term debt divided by average total assets) to last year’s gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Oct14)=Long-Term Debt/Average Total Assets from Oct13 to Oct14
=45.106/445.3132
=0.10129051

Gearing (Last Year: Oct13)=Long-Term Debt/Average Total Assets from Oct12 to Oct13
=40.996/421.9148
=0.09716654

Village Super Market Inc's gearing of this year was 0.10129051. Village Super Market Inc's gearing of last year was 0.09716654. ==> Last year is lower than this year ==> Score 0.

Q6. Change in Working Capital (Liquidity)

Compare this year’s current ratio (current assets divided by current liabilities) to last year’s current ratio.

Score 1 if this year'’s current ratio is higher, 0 if it’s lower

Current Ratio (This Year: Oct14)=Total Current Assets/Total Current Liabilities
=158.461/137.215
=1.1548373

Current Ratio (Last Year: Oct13)=Total Current Assets/Total Current Liabilities
=196.007/124.473
=1.57469491

Village Super Market Inc's current ratio of this year was 1.1548373. Village Super Market Inc's current ratio of last year was 1.57469491. ==> Last year's current ratio is higher ==> Score 0.

Q7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Village Super Market Inc's number of shares in issue this year was 13.8. Village Super Market Inc's number of shares in issue last year was 9.1. ==> There is larger number of shares in issue this year. ==> Score 0.

Efficiency

Q8. Change in Gross Margin

Compare this year’s gross margin (gross profit divided by sales) to last year’s.

Score 1 if this year’s gross margin is higher, 0 if it’s lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=417.595/1541.334
=0.27093089

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=395.829/1475.352
=0.26829462

Village Super Market Inc's gross margin of this year was 0.27093089. Village Super Market Inc's gross margin of last year was 0.26829462. ==> This year's gross margin is higher. ==> Score 1.

Q9. Change in asset turnover

Compare this year’s asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year’s asset turnover ratio.

Score 1 if this year’s asset turnover ratio is higher, 0 if it’s lower

Asset Turnover (This Year)=Revenue (TTM)/Total Assets at the Beginning of This Year (Oct13)
=1541.334/432.492
=3.56384396

Asset Turnover (Last Year)=Revenue (TTM)/Total Assets at the Beginning of Last Year (Oct12)
=1475.352/416.551
=3.54182801

Village Super Market Inc's asset turnover of this year was 3.56384396. Village Super Market Inc's asset turnover of last year was 3.54182801. ==> This year's asset turnover is higher. ==> Score 1.

Evaluation

Piotroski F-Score=Q1+Q2+Q3+Q4+Q5+Q6+Q7+Q8+Q9
=1+1+1+1+0+0+0+1+1
=6

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Village Super Market Inc has an F-score of 6 indicating the company's financial situation is typical for a stable company.


Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Related Terms

Net Income, Cash Flow from Operations, Revenue, Gross Profit, Total Assets, Long-Term Debt, Total Current Assets, Total Current Liabilities


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Village Super Market Inc Annual Data

Jul05Jul06Jul07Jul08Jul09Jul10Jul11Jul12Jul13Jul14
Q1 1111111111
Q2 1111111111
Q3 1011100100
Q4 1111111111
Q5 0110001110
Q6 1100110110
Q7 0000000100
Q8 1111100100
Q9 0001000100
F-score 6666644953

Village Super Market Inc Quarterly Data

Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14Oct14
Q1 1111111111
Q2 1111111111
Q3 1110000001
Q4 1111111111
Q5 1111111100
Q6 1111100000
Q7 1000010000
Q8 1100000001
Q9 1000000001
F-score 9765554436
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