Top 5 Undervalued Stocks To Own Right Now

There are a number of great companies in the market today. By using the ModernGraham valuation model, I have selected the 10 lowest PEmg (price to normalized earnings) companies. Each company has been determined to be undervalued and suitable for the Defensive Investor according to the ModernGraham approach.

Defensive Investors are defined as investors who are not able or willing to do substantial research into individual investments, and therefore need to select only the companies that present the least amount of risk. Enterprising Investors, on the other hand, are able to do substantial research and can select companies that present a moderate (though still low) amount of risk.

Bed Bath & Beyond Inc. (NASDAQ:BBBY)

Bed Bath & Beyond qualifies for both the Defensive Investor and the Enterprising Investor. The Defensive Investor is only initially concerned with the poor dividend history. The Enterprising Investor is only concerned with the lack of dividends. As a result, all value investors should feel comfortable proceeding with the analysis.

Top 5 Undervalued Stocks To Own Right Now: Interpublic Group of Companies, Inc. (IPG)

Advisors’ Opinion:

  • [By Lisa Levin] Related TRST Earnings Scheduled For October 21, 2016 Major Accounting Changes Are Coming To The Financial Industry
    Related MORN One Of The World's Most Powerful Women, Fidelity Personal Investing President Kathleen Murphy, To Tell Her Story At The Benzinga Global Fintech Awards The 2017 Benzinga Global Fintech Awards Will Include An 'Unprecedented Group' Of Judges Morningstar Packs Conference Lineup For Financial Advisors (Investor’s Business Daily) Companies Reporting Before The Bell
    Rockwell Collins, Inc. (NYSE: COL) is estimated to report quarterly earnings at $1.31 per share on revenue of $1.33 billion.
    General Electric Company (NYSE: GE) is expected to report quarterly earnings at $0.17 per share on revenue of $26.46 billion.
    Honeywell International Inc. (NYSE: HON) is estimated to report quarterly earnings at $1.60 per share on revenue of $9.32 billion.
    Interpublic Group of Companies Inc (NYSE: IPG) is expected to report quarterly earnings at $0.03 per share on revenue of $1.76 billion.
    Schlumberger Limited. (NYSE: SLB) is estimated to report quarterly earnings at $0.26 per share on revenue of $7.02 billion.
    SunTrust Banks, Inc. (NYSE: STI) is expected to report quarterly earnings at $0.83 per share on revenue of $2.21 billion.
    ManpowerGroup Inc. (NYSE: MAN) is projected to report quarterly earnings at $1.11 per share on revenue of $4.68 billion.
    Kansas City Southern (NYSE: KSU) is estimated to report quarterly earnings at $1.15 per share on revenue of $593.82 million.
    Stanley Black & Decker, Inc. (NYSE: SWK) is projected to report quarterly earnings at $1.19 per share on revenue of $2.74 billion.
    WABCO Holdings Inc. (NYSE: WBC) is estimated to report quarterly earnings at $1.44 per share on revenue of $721.89 million.
  • [By Laurie Kulikowski]

    Interpublic is our income play in our media universe. While other stocks we cover offer a higher yield than IPG’s 2.1%, the company’s double digit EPS growth projections for 2016 (following an estimated 18% in 2015) will also likely be a driver of outperformance for the year. While results can be somewhat volatile for IPG, we would point to record new business win backlog this year, which improves our conviction that the better than average recent organic revenue growth trends will continue next year. At 18x our 2016 EPS estimate, we find IPG shares attractive at current levels for another projected year of healthy double digit total returns. 

  • [By Laurie Kulikowski]

    Net operating cash flow has significantly increased by 59.42% to $280.90 million when compared to the same quarter last year. In addition, INTERPUBLIC GROUP OF COS has also vastly surpassed the industry average cash flow growth rate of 8.14%.

     

  • [By Paul Ausick]

    The Interpublic Group of Companies Inc. (NYSE: IPG) dropped about 4% Wednesday to post a new 52-week low of $21.28 after closing Tuesday at $22.16. The 52-week high is $25.71. Volume reached nearly 10 million shares traded, more than double the daily average of around 3.8 million. Tuesday’s weak earnings report continued to weigh on the share price.

  • [By Laurie Kulikowski]

    Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Media industry and the overall market, INTERPUBLIC GROUP OF COS’s return on equity significantly exceeds that of both the industry average and the S&P 500.

     

Top 5 Undervalued Stocks To Own Right Now: Boardwalk Pipeline Partners L.P.(BWP)

Advisors’ Opinion:

  • [By Jim Robertson]

    On Friday, our Under the Radar Moversnewsletter suggested mid cap natural gas pipeline stock Boardwalk Pipeline Partners, LP (NYSE: BWP) as a bullish/long trade:

Top 5 Undervalued Stocks To Own Right Now: J.B. Hunt Transport Services Inc.(JBHT)

Advisors’ Opinion:

  • [By ]

    JB Hunt Transport Services (JBHT) : “I’m sticking with it.”

    Opko Health (OPK) : “I’ve been waiting for these guys to come back on the show and tell us why we should buy.”

  • [By ]

    But then there’s the little-known trucking company JB Hunt (JBHT) , which popped 6.1% because the company saw some surprise growth that no one was expecting. That news was so strong, FedEx (FDX) and XPO Logistics (XPO) also rose 2.2% and 4.6%.

  • [By ]

    JB Hunt Transport Services (Nasdaq: JBHT) specializes in the truck-to-rail intermodal segment of the industry, which means it may not benefit quite as much as the long-haul operators. Wages as a percentage of revenue are the lowest among the four competitors surveyed, though the average driver salary is slightly above the industry average.

  • [By Chris Lange]

    The stock posting the largest daily percentage gain in the S&P 500 ahead of the close Monday was J.B. Hunt Transport Services, Inc. (NASDAQ: JBHT) which rose about 6% to $119.64. The stocks 52-week range is $83.35 to $126.49. Volume was over 2 million compared to the daily average volume of 1 million.

  • [By Garrett Baldwin]

    The ongoing trade rift between the United States and China continues to plague international markets. Despite reports that both countries are working behind the scenes to prevent additional detrimental trade policies, both countries recently proposed tens of billions in new tariffs on one another. The United States has accused China of widespread intellectual property theft, while China has accused the United States of unfair trade practices, including price manipulation in the agricultural industry. This morning, it’s worth noting that proposed tariffs on U.S. business jets will likely not provide a competitive advantage to foreign competition. Reuters reports that Chinese aviation executives do not see the layer of protectionism as a way to bolster the nation’s local market. Check back to Money Morning today for more insight on how the ongoing trade war could affect your investments.
    Finally, investors will continue to monitor ongoing developments in Washington around the presidency of Donald Trump. The White House has asked a federal judge to block prosecutors from reviewing any files seized from his lawyer’s office during a raid by the FBI last week. The agency seized a trove of documents from lawyer Michael Cohen’s office as part of an investigation into a payment of hush money. The spat between the White House and the FBI continues a day after former FBI Director James Comey called Trump “morally unfit to be president.”
    Three Stocks to Watch Today: BAC, NFLX, AAPL
    Shares of Bank of America Corp. (NYSE: BAC) added nearly 1% after the nation’s largest bank by deposits topped Wall Street earning expectations. The financial institution leads a busy day of earnings reports on Wall Street and hopes to keep its positive momentum from previous quarters. The firm reported earnings per share of $0.62 on top of $23.27 billion in revenue. That topped expectations of $0.59 on top of $22.91 billion thanks to strong growth in its consumer loan business and the r

  • [By Lisa Levin]

    Here is the list of stocks going ex-dividend on August 3, 2016.

    J B Hunt Transport Services Inc (NASDAQ: JBHT) – $0.2200 dividend, 1.0791 percent yield
    Johnson Controls Inc (NYSE: JCI) – $0.2900 dividend, 2.6250 percent yield
    FirstEnergy Corp. (NYSE: FE) – $0.3600 dividend, 3.9680 percent yield
    Sunoco LP (NYSE: SUN) – $0.8255 dividend, 10.7347 percent yield
    Wells Fargo & Co (NYSE: WFC) – $0.3800 dividend, 3.1588 percent yield
    BP plc (ADR) (NYSE: BP) – $0.6000 dividend, 6.8768 percent yield
    American Airlines Group Inc (NASDAQ: AAL) – $0.1000 dividend, 1.1442 percent yield
    Heidrick & Struggles International, Inc. (NASDAQ: HSII) – $0.1300 dividend, 2.9834 percent yield
    Alcoa Inc (NYSE: AA) – $0.0300 dividend, 1.1321 percent yield
    Sensient Technologies Corporation (NYSE: SXT) – $0.2700 dividend, 1.5341 percent yield

    Posted-In: Ex-DividendNews Dividends Markets Trading Ideas

Top 5 Undervalued Stocks To Own Right Now: Big 5 Sporting Goods Corporation(BGFV)

Advisors’ Opinion:

  • [By Nicholas Rossolillo]

    Dick’s Sporting Goods (NYSE:DKS) and Big 5 Sporting Goods (NASDAQ:BGFV) have both had a great 2016. As far as stock performance goes, Big 5 is the winner this year. But which company is in better shape for the new year?

Top 5 Undervalued Stocks To Own Right Now: Ashford Hospitality Trust Inc(AHT)

Advisors’ Opinion:

  • [By Lisa Levin] Related AHT 25 Biggest Mid-Day Gainers For Friday Mid-Day Market Update: Hortonworks Drops Following Weak Results; Freshpet Shares Spike Higher Ashford Hospitality Trust's (AHT) CEO Montgomery Bennet on Q2 2016 Results – Earnings Call Transcript (Seeking Alpha)
    Related NEWS Mid-Morning Market Update: Markets Open Higher; Micron To Lower Jobs Mid-Morning Market Update: Markets Open Lower; Broadcom Profit Beats Expectations NewStar Financial's (NEWS) CEO Tim Conway on Q2 2016 Results – Earnings Call Transcript (Seeking Alpha)

     

Leave a Reply

Your email address will not be published. Required fields are marked *