6 Stocks Outperforming the Market

BP tops the list

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Jun 21, 2018
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According to the GuruFocus All-in-One Guru Screener, the following stocks have outperformed the Standard & Poor's 500 Index over the past 12 months and were bought by gurus during the last quarter.

BP PLC (BP, Financial) has a market cap of $151.39 billion. It has outperformed the S&P 500 Index by 17.7% over the past 12 months.

The stock is trading with a price-book ratio of 1.59. According to the discounted cash flow calculator, the stock is overpriced by 219% at $45.15 per share. The stock price is currently 33.19% above its 52-week low and 5.60% below its 52-week high.

The oil producer has a profitability and growth rating of 4 out of 10. Its return on equity of 4.32% and return on assets of 1.57% are underperforming 69% of other companies in the Global Oil and Gas Integrated industry. Its financial strength is rated 6 out of 10. The cash-debt ratio of 0.36 is above the industry median of 0.34.

The company’s largest shareholder among the gurus is Barrow, Hanley, Mewhinney & Strauss with 0.98% of outstanding shares, followed by Jim Simons (Trades, Portfolio) with 0.22% and Richard Pzena (Trades, Portfolio) with 0.16%.

With a market cap of $13.69 billion, Broadridge Financial Solutions Inc. (BR) has outperformed the S&P 500 Index by 0.16% over the past 12 months.

The stock is trading with a price-book ratio of 11.73. According to the DCF calculator, the stock is overpriced by 178% at $116.16 per share. The stock price is currently 62.28% above its 52-week low and 3.19% below its 52- week high.

The company provides investor communication solutions to the financial industry. It has a profitability and growth rating of 8 out of 10. Its return on equity of 39.10% and return on assets of 12.48% are outperforming 85% of other companies in the Global Business Services industry. Its financial strength is rated 6 out of 10. The cash-debt ratio of 0.29 is below the industry median of 1.31.

Diamond Hill Capital (Trades, Portfolio) is the largest shareholder of the company among the gurus with 0.37% of outstanding shares, followed by Columbia Wanger (Trades, Portfolio) with 0.25% and Simons with 0.13%.

Brown & Brown Inc. (BRO, Financial) has a market cap of $7.88 billion. It has outperformed the S&P 500 Index by 16.7% over the past 12 months.

The stock is trading with a price-book ratio of 2.84. According to the DCF calculator, the stock is undervalued with a 58% margin of safety at $28.51 per share. The stock price is currently 34.80% above its 52-week low and 0.45% below its 52-week high.

The company provides insurance products and services, primarily in the areas of property, casualty and employee benefits, by connecting customers with insurance companies. It has a profitability and growth rating of 8 out of 10. Its return on equity of 16.14% and return on assets of 7.18% are outperforming 75% of other companies in the Global Insurance Brokers industry. Its financial strength is rated 6 out of 10 with a cash-debt ratio of 0.60.

The company’s largest shareholder among the gurus is First Eagle Investment (Trades, Portfolio) with 5.11% of outstanding shares, followed by Simons with 2.03%, Diamond Hill Capital with 1.13% and Zeke Ashton (Trades, Portfolio) with 0.06%.

With a market cap of $15.14 billion, Banco Santander Chile (BSAC, Financial) has outperformed the S&P 500 Index by 16% over the past 12 months.

The stock is trading with a price-book ratio of 3.06. According to the DCF calculator, the stock is overpriced by 54% at $31.75 per share. The stock price is currently 27.82% above its 52-week low and 9.52% below its 52-week high.

The company provides a range of commercial and retail banking services. It has a profitability and growth rating of 4 out of 10. Its return on equity of 18.91% and return on assets of 1.60% are outperforming 79% of other companies in the Global Banks - Regional - Latin America industry. Its financial strength is rated 4 out of 10. The cash-debt ratio of 0.23 is below the industry median of 2.12.

With 0.55% of outstanding shares, Simons is the company's largest guru shareholder, followed by John Rogers (Trades, Portfolio) with 0.16%.

Peabody Energy Corp. (BTU, Financial) has a market cap of $5.79 billion. It has outperformed the S&P 500 Index by 83% over the past 12 months.

Its shares are trading with a forward price-earnings ratio of 17.61. According to the DCF calculator, the stock is undervalued with a 6% margin of safety at $46.14 per share. The stock price is currently 104.34% above its 52-week low and 3.55% below its 52-week high.

The coal company has a profitability and growth rating of 4 out of 10. Its return on equity of 17.22% and return on assets of 13.61% are outperforming 50% of other companies in the Global Coal industry. Its financial strength is rated 6 out of 10. The cash-debt ratio of 0.97 is above the industry median of 0.53.

The company’s largest guru shareholder is Paul Singer (Trades, Portfolio) with 28.16% of outstanding shares, followed by Simons with 1.34%, David Tepper (Trades, Portfolio) with 0.47% and Barrow, Hanley, Mewhinney & Strauss with 0.11%.

With a market cap of $7.91 billion, Blue Buffalo Pet Products Inc. (BUFF, Financial) has outperformed the S&P 500 Index by 49.7% over the past 12 months.

The stock is trading with a price-book ratio of 26.14. According to the DCF calculator, the stock is overpriced by 285% at $40 per share. The stock price is currently 85.96% above its 52-week low and 0.37% below its 52-week high.

The company manufactures premium all-natural dog and cat foods. It has a profitability and growth rating of 8 out of 10. Its return on equity of 86.45% and return on assets of 25.75% are outperforming 97% of other companies in the Global Packaged Foods industry. Its financial strength is rated 7 out of 10. The cash-debt ratio of 0.72 is above the industry median of 0.66.

John Griffin (Trades, Portfolio) is the company's largest guru shareholder with 1.74% of outstanding shares, followed by PRIMECAP Management (Trades, Portfolio) with 0.22%, George Soros (Trades, Portfolio) with 0.2% and Paul Tudor Jones (Trades, Portfolio) with 0.16%.

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