Investors may want to consider the following securities as their forward price-earnings ratios are lower than the S&P 500's historical average of 15. The projections of future earnings are based on data from Morningstar analysts.
Archer-Daniels-Midland
The first stock that qualifies is Archer-Daniels-Midland Co. (ADM, Financial), a Chicago-based multinational food processing and commodities trading company.
Archer-Daniels-Midland has a forward price-earnings ratio of 14.91 (versus the industry median of 21.12), which results from Wednesday's closing price of $57 per share and analyst expectations for net earnings per share of approximately $3.82 for the next full fiscal year.
The stock has risen 66% over the past year for a market capitalization of $31.83 billion and a 52-week range of $33.01 to $59.12.
GuruFocus has assigned a rating of 5 out of 10 for the company's financial strength and a rating of 6 out of 10 for its profitability.
Wall Street sell-side analysts recommend an overweight median rating with an average price target of $57.82 per share for the stock.
McKesson
The second stock that qualifies is McKesson Corp, (MCK, Financial), an Irving, Texas-based supplier of medical treatments and equipment in the U.S. and internationally.
McKesson has a forward price-earnings ratio of 10.62 (versus the industry median of 15.2), which derives from Wednesday's closing price of $195.04 per share and analyst expectations for earnings of approximately $18.37 per share for the next full fiscal year.
The stock has risen 51% over the past year for a market capitalization of $31.04 billion and a 52-week range of $121.15 to $198.43.
GuruFocus has assigned a rating of 5 out of 10 for the company's financial strength and a rating of 7 out of 10 for its profitability.
Wall Street sell-side analysts recommend a median rating of buy with an average price target of $216.31 per share for this stock.
BioNTech
The third stock that qualifies is BioNTech SE (BNTX, Financial), a Mainz, Germany-based biotechnology developer of immunotherapies for cancer and other infectious diseases.
BioNTech SE has a forward price-earnings ratio of 7 (versus the industry median of 24.24), which derives from Wednesday's closing price of $109.19 per share and analysts' expectations for earnings of approximately $15.60 for the next full fiscal year.
The stock has risen 92% over the past year for a market capitalization of $26.37 billion and a 52-week range of $37 to $131.
GuruFocus has assigned a rating of 6 out of 10 for the company's financial strength and a rating of 1 out of 10 for its profitability.
Wall Street sell-side analysts recommend a median rating of overweight with an average price target of $104.22 per share for the stock.
Disclosure: I have no positions in any securities mentioned.
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