Investors may want to consider the following securities as the next value opportunities.
They do not appear to be expensive since their price-earnings ratio is less than 20.
Second, they have a consistent history of earnings and sales generation with no losses recorded in the last five years, but growth rates accomplished in both the top and bottom lines.
Also, Wall Street analysts have issued positive recommendation ratings for all three of them, underpinning expectations for well-performing stocks.
Silgan
The first company to consider is Silgan Holdings Inc. (SLGN, Financial).
The Connecticut-based global producer and seller of rigid packaging for consumer goods products posted a 6.4% increase in its trailing 12-month revenue per share and 9.4% growth in its trailing 12-month earnings per share without non-recurring items in the past five years. The price-earnings ratio (17.84 as of Friday) was quite flat on average over the period in question.
Silgan closed at $31.57 per share on Friday for a market capitalization of $3.50 billion.
The company currently pays a quarterly dividend of 11 cents per common share, generating a 1.39% forward dividend yield as of Friday.
GuruFocus assigned a financial strength rating of 4 out of 10 and a profitability rating of 9 out of 10.
Wall Street recommends a hold recommendation rating with an average target price of $33.27.
Ruth's Hospitality
The second company to consider is Ruth's Hospitality Group Inc. (RUTH, Financial).
The Florida-based operator of fine dining restaurants under the Ruth's Chris Steak House name has grown its trailing 12-month revenue per share by 10.8% and its trailing 12-month earnings per share without non-recurring items by 13.2% over the past five years. The price-earnings ratio (15.49 as of Friday) was almost flat on average over the observed period.
Ruth's Hospitality traded at a price of $22.15 per share at close on Friday for a market capitalization of $634.08 million.
The company currently pays a quarterly dividend of 13 cents per share, which produces a 2.35% forward dividend yield as of Jan. 17.
GuruFocus assigned Ruth's Hospitality a financial strength rating of 4 out of 10 and a profitability rating of 8 out of 10.
Wall Street issued a hold recommendation rating with an average target price of $25.
ESSA Bancorp
The third company to consider is ESSA Bancorp Inc. (ESSA, Financial).
The Stroudsburg, Pennsylvania-based regional bank posted growth of 2.5% in its trailing 12-month revenue per share and a growth of 1.8% in its trailing 12-month earnings per share without non-recurring items over the past five years. The price-earnings ratio (14.69 as of Friday) showed a small negative variation over the period in question.
ESSA Bancorp closed at $17.19 per share on Friday for a market capitalization of $194.08 million
The company currently pays a quarterly dividend of 11 cents per common share, which produces a forward dividend yield of 2.56% as of Friday.
GuruFocus assigned a rating of 2 out of 10 for the company’s financial strength and a rating of 4 out of 10 for its profitability.
Wall Street issued a hold recommendation rating with an average target price of $17.50.
Disclosure: I have no positions in any securities mentioned.
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