1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
Tiziano Frateschi
Tiziano Frateschi
Articles (2425)  | Author's Website |

5 Undervalued Companies With 5-Star Predictability

Texas Roadhouse tops the list

April 07, 2020 | About:

According to the GuruFocus All-in-One Screener, a Premium feature, the following companies have high business predictability ratings and a wide margin of safety as of April 7.

Texas Roadhouse

Texas Roadhouse Inc. (NASDAQ:TXRH) has a business predictability rank of five out of five stars and, according to the discounted cash flow calculator, a 6.67% margin of safety at an average price of $42.57 per share.

6641332a3d3446698d0cbfa22215c931.png

The operator of casual dining restaurants has a market cap of $2.95 billion and enterprise value of $3.42 billion. Over the past five years, its revenue has grown 11.5% and its earnings per share have grown 15.4%.

Over the past 12 months, the stock has decreased 31% and is currently trading with a price-earnings ratio of 17.3. The share price has been as high as $72.49 and as low as $25.15 in the last year. As of April 7, the stock was trading 41.27% below its 52-week high and 69.26% above its 52-week low.

With 0.12% of outstanding shares, Paul Tudor Jones (Trades, Portfolio) is the company's largest guru shareholder, followed by Jim Simons (Trades, Portfolio)’ Renaissance Technologies with 0.08% and Chuck Royce (Trades, Portfolio) with 0.05%.

Heico

Heico Corp. (NYSE:HEI) has a five-star business predictability rank and, according to the DCF calculator, a 13.28% margin of safety at the average price of $76.60 per share.

d6d64a5c0c41ffe5233e103ff5507beb.png

The manufacturer of jet engines has a market cap of $9.48 billion and an enterprise value of $10.02 billion. Over the past five years, its revenue has increased 13.10% and its earnings per share have grown 19.3%.

The stock has lost 22% over the last 12 months and shares are trading with a price-earnings ratio of 24.53. The share price has been as high as $147.93 and as low as $52.01 in the last 52 weeks. As of April 7, the stock was trading 48.20% below its 52-week high and 47.34% above its 52-week low.

With 0.91% of outstanding shares, Ken Fisher (Trades, Portfolio) is the company's largest guru shareholder, followed by Royce with 0.38% and Simons’ firm with 0.24%.

AvalonBay Communities

AvalonBay Communities Inc. (NYSE:AVB) has a five-star business predictability rank and, according to the DCF calculator, a 9.65% margin of safety at an average price of $145 per share.

553f8f051508b7044d8c16ef2384a43d.png

The owner of residential apartments has a $20.42 billion market cap and an enterprise value of $27.81 billion. Over the past five years, its revenue has increased 6.8% and its earnings per share have grown 3.6%.

The share price has tumbled 27% over the past 12 months. The stock is trading with a price-earnings ratio of 25.72 and a price-book ratio of 1.86. The share price has been as high as $229.4 and as low as $118.17 in the last 52 weeks. As of April 7, the stock was trading 36.76% below its 52-week high and 22.76% above its 52-week low.

With 0.19% of outstanding shares, Pioneer Investments (Trades, Portfolio) is the company's most notable shareholder, followed by Chris Davis (Trades, Portfolio) with 0.10%.

Simpson Manufacturing

Simpson Manufacturing Co. Inc. (NYSE:SSD) has a business predictability rank of five out of five stars and, according to the DCF calculator, a 24.82% margin of safety at an average price of $62.53 per share.

f4840d5996b000ccb748923e4d9d1da6.png

The manufacturer of wood construction products has a market cap of $2.77 billion and an enterprise value of $2.58 billion. Over the past five years, its revenue has climbed 9.3% and its earnings per share have increased 19.6%.

Shares are flat compared to 12 months ago. The stock is currently trading with a price-earnings ratio of 20.98. The share price has been as high as $88.25 and as low as $47.02 in the last 52 weeks. As of April 7, the stock was trading 29.14% below its 52-week high and 32.99% above its 52-week low.

With 2.91% of outstanding shares, John Rogers (Trades, Portfolio) is the company's largest guru shareholder, followed by Barrow, Hanley, Mewhinney & Strauss with 1.91% and Royce with 1.21%.

Landstar System

Landstar System Inc. (NASDAQ:LSTR) has a five-star business predictability and, according to the DCF calculator, a 10.59% margin of safety at an average price of $99.45 per share.

567916bf9cff7d497767b672a29e27a2.png

The operator of truck transportation has a $3.93 billion market cap and an enterprise value of $3.74 billion. Over the past five years, its revenue has grown 7% and its earnings per share have climbed 16%.

Shares have declined 11% over the past year. The stock is trading with a price-earnings ratio of 17.36. The price has been as high as $120.23 and as low as $85.30 in the last 52 weeks. As of April 7, the stock was trading 17.28% below its 52-week high and 16.59% above its 52-week low.

With 1.44% of outstanding shares, Royce is the company's largest guru shareholder, followed by Simons’ firm and Joel Greenblatt (Trades, Portfolio)’s Gotham Asset Management with 0.14%.

Disclosure: I do not own any stocks mentioned.

Read more here:

Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.

About the author:

Tiziano Frateschi
You can read about me on www.theextraincome.info, which gives suggestions on position trading.

Visit Tiziano Frateschi's Website


Rating: 4.0/5 (1 vote)

Voters:

Comments

Please leave your comment:



Performances of the stocks mentioned by Tiziano Frateschi


User Generated Screeners


pjmason14Momentum
pascal.van.garsseHigh FCF-M2
kosalmmuse6
kosalmmuseBest one1
DBrizanall 2019Feb26
kosalmmuseBest one
DBrizanall 2019Feb25
kosalmmuseNice
kosalmmusehan
MsDale*52-Week Low
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)