5 Stocks With Rising Book Values

These companies have grown their book values over the past decade

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Sep 13, 2017
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The following companies have grown their book values per share (BV/S) over the last 10 years.

BV/S is calculated as total equity minus preferred stock, divided by shares outstanding (EOP). Theoretically, it is what shareholders will receive if the company is liquidated. Total equity is a balance sheet item and equal to total assets minus total liabilities. Since the BV/S may not reflect the company’s true value, some investors check the tangible book value to confirm their investment ideas.

The BV/S of Ever-Glory International Group Inc. (EVK, Financial) has grown 5% over the last 10 years. The price-book (P/B) ratio is 0.4 and the price to tangible book value is 0.5.

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According to the discounted cash flow (DCF) calculator, the stock is undervalued and trading with a margin of safety of 60% at $2.45. The price has been as high as $3 and as low as $1.87 in the last 52 weeks. It is currently 18.33% below its 52-week high and 31.02% above its 52-week low. The price-earnings (P/E) ratio is 4.70.

The fashion apparel retailer reported second-quarter total sales of $79.8 million declined 1.1% due to a 12.7% decrease in the company’s wholesale business. The total gross profit increased 14.7%.

The BV/S of Companhia De Saneamento Basico Do Estado De Sao Paolo (SBS, Financial) has grown 6% over the past decade. The P/B ratio is 1.4.

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According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 11% at $10.86. The price has been as high as $11.33 and as low as $7.75 in the last 52 weeks. It is currently 4.15% below its 52-week high and 40.13% above its 52-week low. The P/E ratio is 9.18.

The Brazilian company provides water and sewage services to its customers.

The company’s largest shareholder among the gurus is Jim Simons (Trades, Portfolio) with 0.35% of outstanding shares, followed by Sarah Ketterer (Trades, Portfolio) with 0.25% and Jeremy Grantham (Trades, Portfolio) with 0.02%.

The BV/S of Bank Bradesco SA (BBD, Financial) has grown 17% over the last 10 years. The P/B ratio is 1.9 and price to tangible book value is 2.2.

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According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 28% at $11.28. The price has been as high as $11.47 and as low as $7.15 in the last 52 weeks. It is currently 1.66% below its 52-week high and 57.86% above its 52-week low. The P/E ratio is 9.65.

The Brazilian bank provides insurance and banking services at more than 4,700 locations.

Ken Fisher (Trades, Portfolio) is the company's largest shareholder among the gurus with 0.22% of outstanding shares, followed by Ken Heebner (Trades, Portfolio) with 0.12%, Simons with 0.06% and Charles Brandes (Trades, Portfolio) with 0.01%.

The BV/S of AmTrust Financial Services Inc. (AFSI, Financial) has grown 22% over the past decade. The P/B ratio is 0.8 and the price to tangible book value is 1.5.

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According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 58% at $12.39. The price has been as high as $28.48 and as low as $11.36 in the last 52 weeks. It is currently 56.50% below its 52-week high and 9.07% above its 52-week low. The P/E ratio is 11.91.

The insurance company posted operating earnings of $72.9 million, or 40 cents per diluted share for the second quarter, down from $135.3 million, or 77 cents per diluted share, in the prior-year quarter.Ă‚

The company’s largest guru shareholder is Murray Stahl (Trades, Portfolio) with 0.02% of outstanding shares, followed by Joel Greenblatt (Trades, Portfolio) with 0.02% and David Dreman (Trades, Portfolio) with 0.01%.

The BV/S of Hibbett Sports Inc. (HIBB, Financial) has grown 16% over the last 10 years. The P/B ratio is 0.8 and price to tangible book value is 0.8.

According to the DCF calculator, the stock is undervalued and trading with a margin of safety of 64% at $13.4. The price has been as high as $45.85 and as low as $9.40 in the last 52 weeks. It is currently 70.77% below its 52-week high and 42.55% above its 52-week low. The P/E ratio is 6.63.

For the second quarter, the sporting goods retailer reported a gross margin of 28.9% of net sales,which declined from 33% in the year-ago quarter. Store operating, selling and administrative expenses were 28.5% of net sales, an increase from 25.9% of net sales the year before.

With 3.5% of outstanding shares,Ă‚ Simons is the company's largest guru shareholder, followed by Chuck Royce (Trades, Portfolio) with 1.32%, Barrow, Hanley, Mewhinney & Strauss with 0.91%, Greenblatt with 0.21% and Paul Tudor Jones (Trades, Portfolio) with 0.1%.

Disclosure: I do not own any shares of any stocks mentioned in this article.