Companies with growing earnings per share (EPS) are often good investments as they can return a solid profit to investors. Here is a selection of the most undervalued companies that have five-year growing EPS, according to the DCF calculator.
The EPS of Heartland Financial USA Inc. (HTLF) grew by 15% over the last five years.
According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 34% for $49.4 per share. The price-earnings (P/E) ratio is 16.11; the price has been as high as $52.65 and as low as $32.41 in the last 52 weeks and is 6.17% below its 52-week high and 52.42% above its 52-week low.
Heartland Financial USA has a market cap of $1.33 billion and is a multibank holding company. Through its subsidiaries it provides commercial and retail banking in the communities in which it is located.
The company’s largest shareholder among the gurus is Jim Simons (Trades, Portfolio) with 0.57% of outstanding shares followed by Paul Tudor Jones (Trades, Portfolio) with 0.02%.
The EPS of Cal-Maine Foods Inc. (CALM) grew by 36% over the last five years.
The price has been as high as $53.06 and as low as $35.10 in the last 52 weeks. It is 226.88% below its 52-week high and 10.54% above its 52-week low.
Cal-Maine Foods has a market cap of $1.79 billion and is a producer and marketer of shell eggs in the U.S. The company's main business is the production, grading, packaging, marketing and distribution of shell eggs.
Chuck Royce (Trades, Portfolio) with 1.47% of outstanding shares is the largest investor among the gurus followed by Steven Cohen (Trades, Portfolio) with 0.43% and Jeff Auxier (Trades, Portfolio) with 0.01%.
The EPS of Telecom Argentina SA ADRĂ‚ (TEO) grew by 10% over the last five years.
According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 40% for $23.16 per share. The P/E ratio is 17.70; the price has been as high as $23.99 and as low as $17.04 the last 52 weeks and is 3.46% below its 52-week high and 35.92% above its 52-week low.
Telecom Argentina has a market cap of $2.26 billion and provides fixed-line public telecommunication services, international long-distance service, data transmission and internet services in Argentina.
The EPS of Grupo Aeroportuario del Centro Norte SAB de CVĂ‚ (OMAB) grew by 16% over the last five years.
According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 13% for $44.28 per share. The P/E ratio is 6.86; the price has been as high as $53.58 and as low as $30.05 the last 52 weeks and is 17.36% below its 52-week high and 47.35% above its 52-week low.
The company has a market cap of $2.39 billion and through its subsidiaries holds concessions to operate, maintain and develop 13 airports in Mexico. It provides aeronautical services related to use of its airport facilities by airlines and passengers.
Simons with 0.68% of outstanding shares is the largest investor among the gurus.
The EPS of GATX Corp. (GATX) grew by 21% over the last five years.
According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 21% for $60.88 per share. The P/E ratio is 9.96; the price has been as high as $64.46 and as low as $40.66 in the last 52 weeks and is 5.86% below its 52-week high and 49.24% above its 52-week low.
GATX has a market cap of $2.4 billion and operates, manages and remarkets long-lived used assets in the rail and marine markets. It also provides leasing, shipping, asset remarketing and asset management services.
The largest shareholder among the gurus is Mario Gabelli (Trades, Portfolio) with 7.29% of outstanding shares followed by Jones with 0.04%.
The EPS of Brookdale Senior Living Inc. (BKD) grew by 53% over the last five years.
The price has been as high as $19.12 and as low as $10.65 in the last 52 weeks and is 31.75% below its 52-week high and 22.54% above its 52-week low.
The company has a market cap of $2.49 billion and is an operator of senior living communities in the U.S. with a total capacity of an estimated 143 communities in 46 states and the ability to serve 111,000 residents.
Larry Robbins (Trades, Portfolio) with 8.97% of outstanding shares is the largest investor among the gurus followed by Third Avenue Management (Trades, Portfolio) with 1.09%, Martin Whitman (Trades, Portfolio) with 0.79%, Royce with 0.45%, Cohen with 0.41% and Joel Greenblatt (Trades, Portfolio) with 0.04%.
The EPS of ILG Inc. (ILG) grew by 26% over the last five years.
According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 24% for $24.56 per share. The P/E ratio is 9.55; the price has been as high as $24.82 and as low as $11.79 in the last 52 weeks and is 1.05% below its 52-week high and 108.31% above its 52-week low.
ILG has a market cap of $2.61 billion and is a provider of professionally delivered vacation experiences and the exclusive global licensee for the Hyatt, Sheraton and Westin brands in vacation ownership.
The company’s largest shareholder among the gurus is Wallace Weitz (Trades, Portfolio) with 2.03% of outstanding shares followed by Cohen with 0.82%, Simons with 0.43%, John Hussman (Trades, Portfolio) with 0.08%, Jones with 0.04%, Greenblatt with 0.04% and Gabelli with 0.04%.
The EPS of Allegiant Travel Co. (ALGT) grew by 40% over the last five years.
According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 55% for $146.15 per share. The P/E ratio is 12.81; the price has been as high as $182.25 and as low as $121.70 in the last 52 weeks and is 19.81% below its 52-week high and 20.09% above its 52-week low.
Allegiant Travel has a market cap of $2.67 billion and is a leisure travel company. It is engaged in transporting travelers in small cities to leisure destinations. The company provides air-related services and products along with air transportation.
The company’s largest shareholder among the gurus is Simons with 7.28% of outstanding shares followed by PRIMECAP Management (Trades, Portfolio) with 0.25%, Ronald Muhlenkamp (Trades, Portfolio) with 0.21% and David Dreman (Trades, Portfolio) with 0.01%.
Disclosure: I do not own any shares of any stocks mentioned in this article.
Start a free seven-day trial of Premium Membership to GuruFocus.
