Some investors say that growth matters and price ratios, too. They are right. If you buy a stock with a low valuation compared to the intrinsic value, you can make a solid return when other investors identify the gap and jump on the stock.
Cheapness could have several causes and can be expressed with many fundamentals. I am focused in my research on classical fundamentals like P/E, P/B and P/S.
Each month, I make a screen of the cheapest, dividend-paying large capitalized stocks with highest expected growth for the upcoming fiscal year. The stocks from the list have a market capitalization of more than $10 billion USD, and earnings per share are expected to grow at least 10% for the next year. Despite the strong growth, they still have a P/E ratio of less than 15 and a P/S and P/B ratio of less than two. Fourteen companies fulfilled the mentioned criteria of which ten stocks have a buy or better recommendation.
Here are my favorites:
PetroChina (PTR) has a market capitalization of $241.42 billion. The company employs 552,810 people, generates revenue of $353.396 billion and has a net income of $21.027 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $52.558 billion. The EBITDA margin is 14.87% (the operating margin is 7.95% and the net profit margin 5.95%).
Financial Analysis: The total debt represents 20.52% of the company’s assets and the total debt in relation to the equity amounts to 41.82%. Due to the financial situation, a return on equity of 11.16% was realized. Twelve trailing months earnings per share reached a value of $10.14. Last fiscal year, the company paid $4.56 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.0, the P/S ratio is 0.73 and the P/B ratio is finally 1.41. The dividend yield amounts to 3.80% and the beta ratio has a value of 1.10.
Magna (MGA) has a market capitalization of $13.16 billion. The company employs 117,000 people, generates revenue of $30.837 billion and has a net income of $1.426 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2.228 billion. The EBITDA margin is 7.23% (the operating margin is 5.68% and the net profit margin 4.62%).
Financial Analysis: The total debt represents 2.52% of the company’s assets and the total debt in relation to the equity amounts to 4.58% . Due to the financial situation, a return on equity of 16.28% was realized. Twelve trailing months earnings per share reached a value of $6.09. Last fiscal year, the company paid $1.10 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 9.27, the P/S ratio is 0.43 and the P/B ratio is 1.40. The dividend yield amounts to 2.27% and the beta ratio has a value of 1.42.
Murphy Oil (MUR) has a market capitalization of $11.77 billion. The company employs 3,497 people, generates revenue of $28.626 billion and has a net income of $964.05 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $3.013 billion. The EBITDA margin is 10.53% (the operating margin is 5.67% and the net profit margin 3.37%).
Financial Analysis: The total debt represents 12.81% of the company’s assets and the total debt in relation to the equity amounts to 25.11%. Due to the financial situation, a return on equity of 10.88% was realized. Twelve trailing months earnings per share reached a value of $4.95. Last fiscal year, the company paid $1.18 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.46, the P/S ratio is 0.41 and the P/B ratio is 1.32. The dividend yield amounts to 2.03% and the beta ratio has a value of 1.22.
National-Oilwell (NOV) has a market capitalization of $29.12 billion. The company employs 42,183 people, generates revenue of $20.041 billion and has a net income of $2.483 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4.185 billion. The EBITDA margin is 20.88% (the operating margin is 17.75% and the net profit margin 12.39%).
Financial Analysis: The total debt represents 10% of the company’s assets and the total debt in relation to the equity amounts to 15.56%. Due to the financial situation, a return on equity of 13.16% was realized. Twelve trailing months earnings per share reached a value of $5.83. Last fiscal year, the company paid $0.49 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 11.70, the P/S ratio is 1.45 and the P/B ratio is 1.44. The dividend yield amounts to 0.76% and the beta ratio has a value of 1.68.
Take a look at the full list of cheap large capitalized stocks with highest expected earnings per share growth. The average P/E ratio amounts to 10.24 while the forward P/E ratio is 9.85. The P/S ratio is 0.75 and the P/B ratio 1.28. The expected earnings growth for next year amounts to 15.93% and 11.69% for the upcoming five years.
Related stock ticker symbols:
VIP, ETP, SKM, AEG, PTR, KSS, SNP, MGA, MUR, ABT, DB, PBR-A, PKX, NOV
Selected Articles:
· An Overview Of The Highest Dividend Paying Stocks From The S&P 500
· Best Dividend Paying Stock List
· Cheapest Dividend Paying Large Caps As of February 2013
· Dogs Of The Dow Jones Strategy: The 10 Best Stock Index Picks
Subscribe my Blog via RSS Feed or E-Mail. Alternative, you can follow meon Facebook or Twitter
Cheapest dividend paying large capitalized stocks with highest earnings per share growth; originally published at “long-term-investments.blogspot.com.
Cheapness could have several causes and can be expressed with many fundamentals. I am focused in my research on classical fundamentals like P/E, P/B and P/S.
Each month, I make a screen of the cheapest, dividend-paying large capitalized stocks with highest expected growth for the upcoming fiscal year. The stocks from the list have a market capitalization of more than $10 billion USD, and earnings per share are expected to grow at least 10% for the next year. Despite the strong growth, they still have a P/E ratio of less than 15 and a P/S and P/B ratio of less than two. Fourteen companies fulfilled the mentioned criteria of which ten stocks have a buy or better recommendation.
Here are my favorites:
PetroChina (PTR) has a market capitalization of $241.42 billion. The company employs 552,810 people, generates revenue of $353.396 billion and has a net income of $21.027 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $52.558 billion. The EBITDA margin is 14.87% (the operating margin is 7.95% and the net profit margin 5.95%).
Financial Analysis: The total debt represents 20.52% of the company’s assets and the total debt in relation to the equity amounts to 41.82%. Due to the financial situation, a return on equity of 11.16% was realized. Twelve trailing months earnings per share reached a value of $10.14. Last fiscal year, the company paid $4.56 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.0, the P/S ratio is 0.73 and the P/B ratio is finally 1.41. The dividend yield amounts to 3.80% and the beta ratio has a value of 1.10.
Magna (MGA) has a market capitalization of $13.16 billion. The company employs 117,000 people, generates revenue of $30.837 billion and has a net income of $1.426 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2.228 billion. The EBITDA margin is 7.23% (the operating margin is 5.68% and the net profit margin 4.62%).
Financial Analysis: The total debt represents 2.52% of the company’s assets and the total debt in relation to the equity amounts to 4.58% . Due to the financial situation, a return on equity of 16.28% was realized. Twelve trailing months earnings per share reached a value of $6.09. Last fiscal year, the company paid $1.10 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 9.27, the P/S ratio is 0.43 and the P/B ratio is 1.40. The dividend yield amounts to 2.27% and the beta ratio has a value of 1.42.
Murphy Oil (MUR) has a market capitalization of $11.77 billion. The company employs 3,497 people, generates revenue of $28.626 billion and has a net income of $964.05 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $3.013 billion. The EBITDA margin is 10.53% (the operating margin is 5.67% and the net profit margin 3.37%).
Financial Analysis: The total debt represents 12.81% of the company’s assets and the total debt in relation to the equity amounts to 25.11%. Due to the financial situation, a return on equity of 10.88% was realized. Twelve trailing months earnings per share reached a value of $4.95. Last fiscal year, the company paid $1.18 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.46, the P/S ratio is 0.41 and the P/B ratio is 1.32. The dividend yield amounts to 2.03% and the beta ratio has a value of 1.22.
National-Oilwell (NOV) has a market capitalization of $29.12 billion. The company employs 42,183 people, generates revenue of $20.041 billion and has a net income of $2.483 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4.185 billion. The EBITDA margin is 20.88% (the operating margin is 17.75% and the net profit margin 12.39%).
Financial Analysis: The total debt represents 10% of the company’s assets and the total debt in relation to the equity amounts to 15.56%. Due to the financial situation, a return on equity of 13.16% was realized. Twelve trailing months earnings per share reached a value of $5.83. Last fiscal year, the company paid $0.49 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 11.70, the P/S ratio is 1.45 and the P/B ratio is 1.44. The dividend yield amounts to 0.76% and the beta ratio has a value of 1.68.
Take a look at the full list of cheap large capitalized stocks with highest expected earnings per share growth. The average P/E ratio amounts to 10.24 while the forward P/E ratio is 9.85. The P/S ratio is 0.75 and the P/B ratio 1.28. The expected earnings growth for next year amounts to 15.93% and 11.69% for the upcoming five years.
Related stock ticker symbols:
VIP, ETP, SKM, AEG, PTR, KSS, SNP, MGA, MUR, ABT, DB, PBR-A, PKX, NOV
Selected Articles:
· An Overview Of The Highest Dividend Paying Stocks From The S&P 500
· Best Dividend Paying Stock List
· Cheapest Dividend Paying Large Caps As of February 2013
· Dogs Of The Dow Jones Strategy: The 10 Best Stock Index Picks
Subscribe my Blog via RSS Feed or E-Mail. Alternative, you can follow meon Facebook or Twitter
Cheapest dividend paying large capitalized stocks with highest earnings per share growth; originally published at “long-term-investments.blogspot.com.
