Companies with growing EPS are often a good investment as they can return a very good profit to investors. Here is a selection of the most undervalued companies, according to the DCF calculator, that have a five-year growing EPS.
Earnings per share of Waddell & Reed Financial Inc.(WDR) grew by 14% over the last five years; according to the DCF calculator, the stock, at the price of $22.41, is undervalued and trading with a margin of safety of 70%.
Waddell & Reed Financial operates as a mutual fund and asset management firm. It provides investment management, investment product underwriting and distribution and shareholder services administration to mutual funds and institutional and separately managed accounts. Fourth-quarter net income was 76 cents per diluted share, compared to 58 cents per diluted share, and operating income declined 16% sequentially and 23% compared to the same quarter in 2014.
The stock is trading with a PE ratio of 7.62, has been as high as $51.23 and as low as $20.21 in the last 52 weeks and is currently 56.26% below its 52-week high and 10.89% above its 52-week low.
Ken Fisher (Trades, Portfolio) is the company's largest shareholder among the gurus with 2.36% of outstanding shares followed by Chuck Royce (Trades, Portfolio) with 1.05%, Joel Greenblatt (Trades, Portfolio) with 0.5%, Mario Gabelli (Trades, Portfolio) with 0.48% and Jim Simons (Trades, Portfolio) with 0.43%.
Earnings per share of AmTrust Financial Services Inc. (AFSI) grew by 27% over the last five years; according to the DCF calculator, the stock, at the price of $25.10, is undervalued and trading with a margin of safety of 69%.
AmTrust Financial Services is a multinational specialty property and casualty insurer focused on generating consistent underwriting profits. Net earned premium grew 16% from the fourth quarter of a year before and gross written premium increased 10%.
The stock is trading with a PE ratio of 8.93, has been as high as $35.94 and as low as $23.68 in the last 52 weeks and is currently 30.15% below its 52-week high and 6% above its 52-week low.
The largest shareholder among the gurus is Steven Cohen (Trades, Portfolio) with 0.13% of outstanding shares followed by Murray Stahl (Trades, Portfolio) with 0.1%, Royce with 0.05% and Paul Tudor Jones (Trades, Portfolio) with 0.02%.
Earnings per share of Viacom Inc.(VIAB) grew by 12% over the last five years; according to the DCF calculator, the stock, at the price of $38.27, is undervalued and trading with a margin of safety of 71%.
Viacom is an entertainment content company that connects with audiences through television content across television, motion picture, online and mobile platforms in more than 165 countries and territories.
During the first quarter of fiscal 2016 revenue declined 6%, and foreign exchange had an unfavorable 2 cents impact on adjusted diluted EPS, in which it had a decrease of 9% from the same quarter of a year before.
The stock is trading with a PE ratio of 8.90, has been as high as $73.52 and as low as $30.11 in the last 52 weeks and is 47.95% below its 52-week high and 27.10% above its 52-week low.
Donald Yacktman (Trades, Portfolio) is the company's largest shareholder among the gurus, with 1.29% of outstanding shares followed by Yacktman Fund (Trades, Portfolio) with 0.91%, NWQ Managers (Trades, Portfolio) with 0.72%, John Rogers (Trades, Portfolio) with 0.49%, Stahl with 0.23%, Ray Dalio (Trades, Portfolio) with 0.17% and Simons with 0.12%.
Earnings per share of Viacom Inc.(VIA) grew by 12% over the last five years. According to the DCF calculator, the stock, at the price of $41.67, is undervalued and trading with a margin of safety of 69%.
Viacom is an entertainment content company that connects with audiences through television content across television, motion picture, online and mobile platforms in more than 165 countries and territories.
The stock is trading with a PE ratio of 8.90, has been as high as $72.72 and as low as $33.88 in the last 52 weeks and is 42.70% below its 52-week high and 22.99% above its 52-week low.
The largest shareholders among the gurus are Gabelli with 0.77% of outstanding shares, NWQ Managers (Trades, Portfolio) with 0.02% and Simons with 0.01%.
Earnings per share of Fossil Group Inc.(FOSL) grew by 7% over the last five years. According to the DCF calculator, the stock, at the price of $40.59, is undervalued and trading with a margin of safety of 68%.
Fossil Group designs, markets and distributes consumer fashion accessories. Its principal offerings include an extensive line of men's and women's fashion watches and jewelry, handbags, small leather goods, belts, sunglasses, soft accessories and clothing. During the fourth quarter worldwide net sales decreased 7%, and diluted earnings per share were $1.46, compared to $3 for the fourth quarter of fiscal 2014.
The stock is trading with a PE ratio of 8.98, has been as high as $86.50 and as low as $28.26 in the last 52 weeks and is 53.08% below its 52-week high and 43.63% above its 52-week low.
Columbia Wanger (Trades, Portfolio) is the company's largest shareholder among the gurus, with 3.19% of outstanding shares followed by Wallace Weitz (Trades, Portfolio) with 2.63%, Dalio with 0.96%, Michael Price (Trades, Portfolio) with 0.45%, Simons with 0.02% and Stahl with 0.01%.
Earnings per share of PRA Group Inc.(PRAA) grew by 20% over the last five years; according to the DCF calculator, the stock, at the price of $31.50, is undervalued and trading with a margin of safety of 66%.
PRA Group is a financial and business service company. Its business focuses upon the detection, collection and processing of both unpaid and normal-course accounts receivable originally owed to credit grantors, governments, retailers and others.
Fourth-quarter operating expenses were $159 million, compared with $140.9 million a year ago, and operating income was $71.2 million, compared with $109.9 million in the same quarter of a year before.
The stock is trading with a PE ratio of 9.08, has been as high as $64.82 and as low as $20 in the last 52 weeks and is 51.40% below its 52-week high and 57.50% above its 52-week low.
The largest shareholder among the gurus is Jeremy Grantham (Trades, Portfolio) with 0.2% of outstanding shares followed by Jones with 0.05% and Greenblatt with 0.02%.
Earnings per share of Energy Company of Minas Gerais (CIG.C) grew by 10% over the last five years. According to the DCF calculator, the stock, at the price of $2.20, is undervalued and trading with a margin of safety of 71%.
Energy Company of Minas Gerais is engaged in the electric power transmission business, which consists of transporting electric power from the facilities where it is generated to the distribution networks for delivery to end users.
The stock is trading with a PE ratio of 5.32, has been as high as $5.50 and as low as $1.08 in the last 52 weeks and is 60% below its 52-week high and 103.70% above its 52-week low.
Earnings per share of Western Digital Corp.(WDC) grew by 6% over the last five years. According to the DCF calculator, the stock, at the price of $40.49, is undervalued and trading with a margin of safety of 66%.
Western Digital is a developer, manufacturer and provider of data storage solutions that enable consumers, businesses, governments and other organizations to create, manage, experience and preserve digital content. In the second quarter, despite a lower-than-expected hard drive total available market, the company reported revenue and EPS within its guidance range, with non-GAAP gross margin of 28.5%. It delivered revenue of $3.3 billion and net income of $251 million, or $1.07 per share, for its second fiscal quarter.
The stock is trading with a PE ratio of 8.35, has been as high as $102.07 and as low as $4.79 in the last 52 weeks and is 60.23% below its 52-week high and 4.79% above its 52-week low.
T Rowe Price Equity Income Fund (Trades, Portfolio) is the company's largest shareholder among the gurus with 1.06% of outstanding shares followed by Charles Brandes (Trades, Portfolio) with 0.98%, First Pacific Advisors (Trades, Portfolio) with 0.54%, Greenblatt with 0.41%, FPA Capital Fund (Trades, Portfolio) with 0.37%, Pioneer Investments (Trades, Portfolio) with 0.1% and Signature Select Canadian Fund (Trades, Portfolio) with 0.05%.
