Glance at the Dow – April 2014
As one of the features of ModernGraham Stocks & Screens, I take a look at the Dow Jones Industrial Average, listing out each individual component in an easy to read table, and calculate a value for the index that is based on the ModernGraham valuation model’s estimates for intrinsic values for each component.  “Glance at the Dow” will be included in a regular post on the blog on the second Wednesday of each month, and will continue to be included in each month’s ModernGraham Stocks & Screens, which is released on the fourth Wednesday of every month and includes screens of all the companies reviewed by ModernGraham.  I hope this is useful to all my subscribers, as another tool for evaluating Mr. Market’s current prices.
Readers may find a screen of some of the best components of the Dow by reviewing 5 Outstanding Dow Components.
At the time of writing, the Dow Jones Industrial Average (DJIA) was at 16,256.14. The ModernGraham Valuation of the DJIA was 18,141.30. As a result, the DJIA was trading at 89.61% of its estimated value. This figure is within the ModernGraham margin of error, and therefore it appears the DJIA is presently fairly valued. Â To see the individual valuation articles, please click on the company name in the table below.
| Ticker | Investor Type | Latest Valuation Date | MG Value | Recent Price | Price as a percent of Value | PEmg Ratio | |
| AXP | American Express Company | E | 1/23/2014 | $115.45 | $86.49 | 74.92% | 21.41 |
| BA | The Boeing Company | E | 2/17/2014 | $133.72 | $124.15 | 92.84% | 24.20 |
| CAT | Caterpillar Inc. | D | 1/29/2014 | $161.33 | $102.39 | 63.47% | 16.23 |
| CSCO | Cisco Systems, Inc. | D | 2/1/2014 | $31.26 | $22.94 | 73.38% | 14.07 |
| CVX | Chevron Corporation | D | 2/25/2014 | $248.34 | $117.80 | 47.43% | 10.17 |
| DD | E I Du Pont De Nemours And Co | E | 2/6/2014 | $45.79 | $66.79 | 145.86% | 22.19 |
| DIS | The Walt Disney Company | S | 11/19/2013 | $71.18 | $79.57 | 111.79% | 26.44 |
| GE | General Electric Company | D | 3/1/2014 | $3.77 | $25.75 | 683.02% | 19.36 |
| GS | Goldman Sachs Group Inc | S | 11/6/2013 | $23.03 | $156.56 | 679.81% | 11.33 |
| HD | The Home Depot, Inc. | S | 11/6/2013 | $68.76 | $77.11 | 112.14% | 26.87 |
| IBM | International Business Machines Corp. | S | 11/8/2013 | $381.67 | $193.29 | 50.64% | 14.15 |
| INTC | Intel Corporation | D | 2/18/2014 | $76.82 | $26.91 | 35.03% | 13.46 |
| JNJ | Johnson & Johnson | E | 2/25/2014 | $39.99 | $98.06 | 245.21% | 23.02 |
| JPM | JPMorgan Chase & Co. | D | 2/23/2014 | $137.57 | $58.85 | 42.78% | 13.34 |
| KO | The Coca-Cola Company | S | 3/2/2014 | $47.57 | $38.90 | 81.77% | 19.85 |
| MCD | McDonald’s Corporation | S | 11/11/2013 | $142.46 | $98.08 | 68.85% | 18.83 |
| MMM | 3M Co | E | 1/21/2014 | $100.49 | $134.84 | 134.18% | 21.89 |
| MRK | Merck & Co., Inc. | S | 11/12/2013 | $0.00 | $55.04 | N/A | 26.59 |
| MSFT | Microsoft Corporation | D | 2/9/2014 | $49.37 | $39.82 | 80.66% | 16.19 |
| NKE | Nike Inc | E | 2/10/2014 | $61.49 | $72.92 | 118.59% | 28.26 |
| PFE | Pfizer Inc. | E | 3/8/2014 | $13.79 | $30.87 | 223.86% | 23.39 |
| PG | The Procter & Gamble Company | S | 2/11/2014 | $44.92 | $81.35 | 181.10% | 28.85 |
| T | AT&T Inc. | S | 10/28/2013 | $12.00 | $35.27 | 293.92% | 18.76 |
| TRV | Travelers Companies Inc | D | 2/14/2014 | $96.30 | $84.73 | 87.99% | 12.39 |
| UNH | UnitedHealth Group Inc. | D | 2/15/2014 | $141.46 | $80.66 | 57.02% | 16.29 |
| UTX | United Technologies Corporation | S | 11/15/2013 | $89.99 | $115.77 | 128.65% | 20.49 |
| V | Visa Inc | E | 2/16/2014 | $251.97 | $202.59 | 80.40% | 30.98 |
| VZ | Verizon Communications Inc. | S | 3/4/2014 | $13.83 | $48.21 | 348.59% | 26.93 |
| WMT | Wal-Mart Stores, Inc. | S | 11/19/2013 | $101.49 | $78.18 | 77.03% | 16.42 |
| XOM | Exxon Mobil Corporation | D | 3/3/2014 | $119.08 | $97.45 | 81.84% | 12.46 |
Disclaimer: Â The author held a long position in DIS and HD at the time of publication.
