A Trio of Stocks for the Value Investor

High sales and earnings at compelling valuations

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Value investors may want to consider the following stocks, as they meet the following criteria:

  1. They have a price-earnings ratio that stands below 20.
  2. They have a solid history of earnings and sales generation, having grown both over the past five years with no net losses.
  3. They have received positive recommendation ratings from Wall Street sell-side analysts.

Canadian National Railway Co

The first stock to consider is Canadian National Railway Co (CNI, Financial).

The Canadian provider of railroad transportation services saw its trailing 12-month revenue per share increase by a yearly average of 5.5% and its earnings per share (EPS) without non-recurring items (NRI) increase by a yearly average of 8.4%, both over the past five years. The price-earnings ratio (19.59 as of Wednesday) has gained 5% over the period in question.

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The stock price traded at $89.55 per share at close on Wednesday for a market capitalization of $63.24 billion and a dividend yield of 1.83%.

GuruFocus assigned the company a moderate financial strength rating of 5 out of 10 and a high profitability rating of 9 out of 10.

As of June, the stock has one strong buy rating, eight buy ratings, sixteen hold ratings and one underperforming rating on Wall Street. Sell-side analysts have produced an average target price of $86.16 per share.

Canterbury Park Holding Corp

The second stock to consider is Canterbury Park Holding Corp (CPHC, Financial).

The gambling company saw its trailing 12-month revenue per share increase by 2.2% on average every year and its trailing 12-month EPS without NRI increase by 6.4% on average every year over the past five years. The price-earnings ratio (18.96 as of Wednesday) grew by 2.1% over the observed period.

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The stock price traded at $11.95 per share at close on Wednesday for a market capitalization of $56.09 million and a dividend yield of 1.76%.

GuruFocus assigned a positive score of 6 out of 10 to both the company's financial strength and its profitability.

As of June, the stock has an overweight recommendation rating on Wall Street.

United States Lime & Minerals Inc

The third stock to consider is United States Lime & Minerals Inc (USLM, Financial).

The Dallas-based producer and seller of lime and limestone products to U.S. building companies saw its trailing 12-month revenue per share increase by a yearly average of 1.7% and its EPS without NRI increase by a yearly average of 9.4% over the past five years. The price-earnings ratio (16.01 as of Wednesday) rose by 0.4% over the observed years.

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The stock price traded at $75.21 per share at close on Wednesday for a market capitalization of $423.22 million and a dividend yield of 0.77%.

GuruFocus assigned the company a high rating of 9 out of 10 for its financial strength and a high rating of 8 out of 10 for its profitability.

Disclosure: I have no positions in any security mentioned.

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