6 Companies Growing Their Book Value

Flanigan's Enterprises tops the list

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Sep 25, 2018
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According to the GuruFocus All-In-One Screener, the following companies have grown their book value per share (BV/S) over the past decade.

BV/S is calculated as total equity minus preferred stock, divided by shares outstanding. Theoretically, it is what shareholders will receive if a 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 Flanigan's Enterprises Inc. (BDL, Financial) has grown 11% over the last 10 years. The price-book ratio is 1.5 and the price to tangible book value is 1.5.

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The company, which operates a chain of full-service restaurants and liquor stores, has a $50.38 million market cap.

According to the discounted cash flow calculator, the stock is undervalued and is trading with a 15% margin of safety at $28. The stock price has been as high as $29 and as low as $20.60 in the last 52 weeks. It is currently 6.55% below its 52-week high and 31.55% above its 52-week low. The price-earnings ratio is 14.26.

Jim Simons (Trades, Portfolio) is the largest guru shareholder of the company with 2.62% of outstanding shares.

The Kroger Co.'s (KR, Financial) BV/S has grown 9% over the past decade. The price-book ratio is 3.3 and the price to tangible book value is 7.9.

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The grocery store chain has a market cap of $23.86 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 76% margin of safety at $30. The stock price has been as high as $32.74 and as low as $19.69 in the last 52 weeks. It is currently 8.52% below its 52-week high and 52.11% above its 52-week low. The price-earnings ratio is 6.85.

The company’s largest guru shareholder is Pioneer Investments (Trades, Portfolio) with 0.32% of outstanding shares, followed by Joel Greenblatt (Trades, Portfolio) with 0.19%, Simons with 0.13% and Ken Heebner (Trades, Portfolio) with 0.05%.

The BV/S of United Natural Foods Inc. (UNFI, Financial) has grown 13% over the last 10 years. The price-book ratio is 0.8 and the price to tangible book value is 1.2.

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The distributor of natural, organic and specialty food products has a $1.56 billion market cap.

According to the DCF calculator, the stock is undervalued and is trading with a 36% margin of safety at $31. The stock price has been as high as $52.69 and as low as $28.25 in the last 52 weeks. It is currently 41.22% below its 52-week high and 9.63% above its 52-week low. The price-earnings ratio is 9.53.

Ken Fisher (Trades, Portfolio) is the largest shareholder of the company among the gurus with 1.4% of outstanding shares, followed by Mario Gabelli (Trades, Portfolio) with 0.92%, Chuck Royce (Trades, Portfolio) with 0.6% and Barrow, Hanley, Mewhinney & Strauss with 0.4%.

Clearwater Paper Corp.'s (CLW, Financial) BV/S has grown 12% over the past decade. The price-book ratio is 0.9 and the price to tangible book value is 1.6

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The company, which produces tissue and paperboard products, has a market cap of $496 million.

According to the DCF calculator, the stock is undervalued and is trading with a 46% margin of safety at $31.75. The stock price has been as high as $50.60 and as low as $21.55 in the last 52 weeks. It is currently 37.25% below its 52-week high and 47.33% above its 52-week low. The price-earnings ratio is 5.75.

With 0.91% of outstanding shares, Hotchkis & Wiley is the company's largest guru shareholder.

The BV/S of LKQ Corp. (LKQ, Financial) has grown 16% over the last 10 years. The price-book ratio is 2.2.

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The company, which provides alternative and mechanical replacement products, has a $10 billion market cap.

According to the DCF calculator, the stock is undervalued and is trading with a 36% margin of safety at $32.39. The stock price has been as high as $43.86 and as low as $29.60 in the last 52 weeks. It is currently 26.15% below its 52-week high and 9.43% above its 52-week low. The price-earnings ratio is 18.30.

With 0.35% of outstanding shares, Columbia Wanger (Trades, Portfolio) is the company's largest guru shareholder, followed by Steven Cohen (Trades, Portfolio) with 0.2%, Pioneer Investments with 0.1% and Royce with 0.1%.

KapStone Paper and Packaging Corp.'s (KS, Financial) BV/S has grown 15% over the past decade. The price-book ratio is 2.7 and the price to tangible book value is 15.7.

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The container board, corrugated products and specialty paper producer has a market cap of $3.32 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 49% margin of safety at $33.93. The stock price has been as high as $35.01 and as low as $20.42 in the last 52 weeks. It is currently 3.08% below its 52-week high and 66.16% above its 52-week low. The price-earnings ratio is 11.09.

With 0.16% of outstanding shares, Gabelli is the company's largest guru shareholder, followed by Simons with 0.14% and George Soros (Trades, Portfolio) with 0.14%.

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