5 Bargain Stocks With High Predictability Ratings

Union Pacific is on the list

Author's Avatar
Jul 16, 2018
Article's Main Image

According to the GuruFocus All-in-One Screener, the following stocks have high business predictability ratings and a wide margin of safety.

Torchmark Corp. (TMK, Financial)

The company has a four-star business predictability rating and, according to the discounted cash flow calculator, has a 64% margin of safety at $83.39 per share.

1318168653.png

Torchmark provides life and health insurance. It has a market cap of $9.47 billion. Over the past five years, its revenue has increased 7.80% and its earnings per share have grown 21.20%.

The stock is trading with a price-earnings ratio of 6.62 and a price-book ratio of 1.63. The price has been as high as $93.60 and as low as $74.48 in the past 52 weeks. It is currently 10.90% below its 52-week high and 11.96% above its 52-week low.

With 5.6% of outstanding shares, Warren Buffett (Trades, Portfolio) is the company's largest guru shareholder, followed by Richard Pzena (Trades, Portfolio) with 0.29% and Ken Fisher (Trades, Portfolio) with 0.15%.

Allegiant Travel Co(ALGT, Financial)

The company has a five-star business predictability rating and, according to the DCF calculator, has a 62% margin of safety at $139.05 per share.

Allegiant, which is a travel services company, has a market cap of $2.25 billion. Over the past five years, its revenue and earnings per shares have grown by 15.20% and 30.80%.

1265112078.png

The stock is trading with a price-earnings ratio of 10.91 and a price-book ratio of 3.75. The price has been as high as $181.45 and as low as $111.54 in the past 52 weeks. It is currently 23.37% below its 52-week high and 24.66% above its 52-week low.

With 3.39% of outstanding shares, Jim Simons (Trades, Portfolio) is the company's largest guru shareholder, followed by Diamond Hill Capital (Trades, Portfolio) with 2.48% and First Pacific Advisors (Trades, Portfolio) with 2.18%.

Clearwater Paper Corp. (CLW, Financial)

The company has a three-star business predictability rating and, according to the DCF calculator, has a 61% margin of safety at $23.5 per share.

Clearwater Paper produces tissue and paperboard products. It has a market cap of $386.84 million. Over the past five years, its revenue has increased 5.50%.

171434125.png

The stock price has risen 51% over the past 12 months and is trading with a price-earnings ratio of 4.21 and a price-book ratio of 0.64. The price has been as high as $50.60 and as low as $22.48 in the past 52 weeks. It is currently 53.56% below its 52-week high and 4.56% above its 52-week low.

With 0.11% of outstanding shares, Hotchkis & Wiley is the company's largest guru shareholder.

Carriage Services Inc. (CSV)

The company has a 3.5-star business predictability rating and, according to the DCF calculator, has a 60% margin of safety at $24.97 per share.

Carriage Services, which provides funeral services, has a market cap of $406.82 million. Over the past five years, its revenue and earnings per share have grown by 8.10% and 24.70%.

2050916671.png

The stock price has declined 12% over the past 12 months and is trading with a price-earnings ratio of 11.32 and a price-book ratio of 1.91. The price has been as high as $28.96 and as low as $23.15 in the past 52 weeks. It is currently 13.78% below its 52-week high and 7.86% above its 52-week low.

With 6.24% of outstanding shares, Simons is the largest guru shareholder of the company, followed by Paul Tudor Jones (Trades, Portfolio) with 0.07%.

Eastman Chemical Co. (EMN, Financial)

The company has a 3.5-star business predictability rating and, according to the DCF calculator, has a 60% margin of safety at $99.19 per share.

Eastman Chemical, which produces and sells chemicals, plastics and fibers, has a market cap of $14.15 billion. Over the past five years, its revenue has increased 2.90% and its earnings per share have climbed 16.20%.

176783653.png

The stock price has risen 16% over the past 12 months and is currently trading with a price-earnings ratio of 10.34 and a price-book ratio of 2.55. The price has been as high as $112.45 and as low as $81.91 in the past 52 weeks. It is currently 11.79% below its 52-week high and 21.10% above its 52-week low.

With 0.82% of outstanding shares, Diamond Hill Capital is the company's largest guru shareholder, followed by Leon Cooperman (Trades, Portfolio) with 0.24% and Pioneer Investments (Trades, Portfolio) with 0.19%.

Union Pacific Corp(UNP, Financial)

The company has a 4.5-star business predictability rating and, according to the DCF calculator, has a 60% margin of safety at $140.27 per share.

Union Pacific is a rail transport company, which has a market cap of $108.04 billion. Over the past five years, its revenue has increased 2.70% and its earnings per share have grown 18.80%.

118843466.png

The stock price has increased 28% over the past 12 months and is trading with a price-earnings ratio of 10.22. The price has been as high as $148.33 and as low as $101.06 in the past 52 weeks. It is currently 5.43% below its 52-week high and 38.80% above its 52-week low.

Dodge & Cox is the company's largest shareholder among the gurus with 1.72% of outstanding shares, followed by First Eagle Investment (Trades, Portfolio) with 0.82%, PRIMECAP Management (Trades, Portfolio) with 0.31% and Pioneer Investments with 0.17%.

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