Quality Stocks: Alliance Holding, Fossil Group, NeuStar

Stocks with high business predictability ratings

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Jun 28, 2016
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According to GuruFocus’ All-in-One Screener, the following stocks have high business predictability ratings, and at least five gurus are shareholders in the companies.

Alliance Holdings GP LPĂ‚ (AHGP)

GuruFocus gives the company a business predictability of 4.5 out of 5 stars. It is a producer and marketer of coal to U.S. utilities and industrial users. Its ARLP Partnership operates 10 underground mining complexes in Illinois, Indiana, Kentucky, Maryland and West Virginia.

The stock is trading with a P/E ratio of 6.84, and the price has been as high as $40.60 and as low as $12.05 in the last 52 weeks. It is 50.12% below its 52-week high and 68.05% above its 52-week low. According to the DCF calculator, the company looks undervalued with a margin of safety of 76%.

The company’s largest shareholder among the gurus is Jim Simons (Trades, Portfolio) with 0.31% of outstanding shares.

Fossil Group Inc. (FOSL)

GuruFocus gives the company a business predictability of 4 out of 5 stars. The company is a design, marketing and distribution company of consumer fashion accessories. It offers men's and women's fashion watches and jewelry, handbags, small leather goods, belts, sunglasses, soft accessories and select apparel.

The stock is trading with a P/E ratio of 7.15, and the price has been as high as $73.22 and as low as $26.42 the last 52 weeks. It is 62.02% below its 52-week high and 5.26% above its 52-week low. According to the DCF calculator, the stock is undervalued with a margin of safety of 75%.

Wallace Weitz (Trades, Portfolio) is the company's largest shareholder among the gurus with 2.15% of outstanding shares followed by Joel Greenblatt (Trades, Portfolio) with 1.42%, Simons with 0.53%, Michael Price (Trades, Portfolio) with 0.48%, Paul Tudor Jones (Trades, Portfolio) with 0.02%, Murray Stahl (Trades, Portfolio) with 0.02% and Leucadia National (Trades, Portfolio) with 0.01%.

NeuStar Inc. (NSR)

GuruFocus gives the company a business predictability of 4.5 out of 5 stars. The company is provider of real time information services and data analytics. It operates data registries and delivers actionable, data-driven insights that help clients make business decisions in real time.

The stock is trading with a P/E ratio of 8.07, and the price has been as high as $32.66 and as low as $20 in the last 52 weeks. It is 28.57% below its 52-week high and 16.65% above its 52-week low. According to the DCF calculator, the stock looks undervalued with a margin of safety of 77%.

The company’s largest shareholder among the gurus is PRIMECAP Management (Trades, Portfolio) with 13.98% of outstanding shares followed by Ronald Muhlenkamp (Trades, Portfolio) with 0.57%, Simons with 0.44%, Ken Fisher (Trades, Portfolio) with 0.4%, Jones with 0.03% and David Dreman (Trades, Portfolio) with 0.01%.

Waddell & Reed Financial Inc. (WDR)

GuruFocus gives the company a business predictability of 3.5 out of 5 stars. The company is engaged in providing investment management, investment product underwriting and distribution and shareholder services administration to mutual funds and institutional and separately managed accounts.

The stock is trading with a P/E ratio of 6.71, and the price has been as high as $49.23 and as low as $17.11 in the last 52 weeks. It is 64.68% below its 52-week high and 17.11% above its 52-week low. According to the DCF calculator, the stock is undervalued with a margin of safety of 69%.

Fisher is the company's largest shareholder among the gurus with 2.34% of outstanding shares followed by Mario Gabelli (Trades, Portfolio) with 0.83%, Greenblatt with 0.55%, Dreman with 0.18%, Jones with 0.04%, Jeff Auxier (Trades, Portfolio) with 0.04% and Chuck Royce (Trades, Portfolio) with 0.04%.

PRA Group Inc. (PRAA)

GuruFocus gives the company a business predictability of 4.5 out of 5 stars. The company acquires nonperforming consumer debt and returns capital to banks and other creditors to help expand financial services for consumers in North America and Europe.

The stock is trading with a P/E ratio of 8.50, and the price has been as high as $64.82 and as low as $20 in the last 52 weeks. It is 61.06% below its 52-week high and 26.20% above its 52-week low. According to the DCF calculator, the stock is undervalued with a margin of safety of 68%.

The company’s largest shareholder among the gurus is Jeremy Grantham (Trades, Portfolio) with 0.62% of outstanding shares followed by Simons with 0.16%, Greenblatt with 0.02% and Jones with 0.02%.

BofI Holding Inc. (BOFI)

GuruFocus gives the company a business predictability of 4.5 out of 5 stars. The company through its bank holding provides diversified financial services including consumer and business banking products through the branchless distribution channels and affinity partners.

The stock is trading with a P/E ratio of 9.17, and the price has been as high as $35.98 and as low as $13.47 in the last 52 weeks. It is 54.36% below its 52-week high and 21.90% above its 52-week low. According to the DCF calculator, the stock is overpriced by 68%.

Simons is the company's largest shareholder among the gurus with 1.67% of outstanding shares followed by Royce with 0.03%.

Discover Financial Services (DFS)

GuruFocus gives the company a business predictability of 5 out of 5 stars. The company offers credit card loans, private student loans, personal loans, home equity loans and deposit products.

The stock is trading with a P/E ratio of 9.94, and the price has been as high as $59.88 and as low as $42.86 in the last 52 weeks. It is 13.51% below its 52-week high and 20.84% above its 52-week low. According to the DCF calculator, the stock is undervalued with a margin of safety of 65%.

The company’s largest shareholder among the gurus is Barrow, Hanley, Mewhinney & Strauss with 1.2% of outstanding shares followed by PRIMECAP Management (Trades, Portfolio) with 0.69%, NWQ Managers (Trades, Portfolio) with 0.54%, Pioneer Investments (Trades, Portfolio) with 0.07%, John Keeley (Trades, Portfolio) with 0.02%, Diamond Hill Capital (Trades, Portfolio) with 0.01% and Lee Ainslie (Trades, Portfolio) with 0.01%.

AmTrust Financial Services Inc. (AFSI)

GuruFocus gives the company a business predictability of 4 out of 5 stars. The company through its subsidiaries provides specialty property and casualty insurance, specialty risk and extended warranty coverage. The company also provides reinsurance for personal and commercial automotive business.

The stock is trading with a P/E ratio of 9.89, and the price has been as high as $35.94 and as low as $23.68 in the last 52 weeks. It is 32.82% below its 52-week high and 1.94% above its 52-week low. According to the DCF calculator, the stock is undervalued with a margin of safety of 65%.

RS Investment Management (Trades, Portfolio) is the company's largest shareholder among the gurus with 0.65% of outstanding shares followed by Simons with 0.19%, Stahl with 0.1%, Jones with 0.02% and Ainslie with 0.01%.

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