3 Stocks With Low Price-Sales Ratios

They run profitable businesses and benefit from robust financial conditions

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Investors who are seeking value opportunities may find the following stocks interesting, as they have low price-sales ratios, high profitability and robust financial conditions.

Kohl's Corp

The first company investors may be interested in is Kohl's Corp (KSS, Financial), a Menomonee Falls, Wisconsin-based apparel, beauty and home products department store operator in the U.S.

The stock traded at $19.65 per share at close on Aug. 4 for a price-sales ratio of 0.17, which appeals more than the industry median of 0.56.

Kohl's Corp has a GuruFocus profitability rating of 8 out of 10, driven by a three-year earnings per share (EPS) without non-recurring items (NRI) growth rate of 12% compared to the industry median of 3.35%.

The consumer cyclical stock has received a positive GuruFocus financial strength rating of 5 out of 10, driven by a Piotroski F-Score of 5 out of 9, indicating financial stability.

As a result of a 61% decline over the past year, the stock has a market capitalization of $3.10 billion and a 52-week range of $10.89 to $75.91.

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Wall Street sell-side analysts recommend a hold rating for the stock with an average target price of $20.38 per share.

Walgreens Boots Alliance Inc

The second company that may be of interest to investors is Walgreens Boots Alliance Inc (WBA, Financial), a Deerfield, Illinois-based pharmacy retail chain.

The stock traded around $40.93 per share at close on Aug. 4 for a price-sales ratio of 0.26, which is much more compelling than the industry median of 1.73.

Walgreens Boots Alliance Inc has a GuruFocus profitability rating of 8 out of 10, driven by a three-year revenue growth rate of 11.3% compared to the industry median of 7.3%.

The healthcare stock has received a moderate GuruFocus financial strength rating of 4 out of 10, driven by a Piotroski F-Score of 5 out of 9, which indicates that the financial situation of Walgreens Boots Alliance Inc is stable.

The stock price declined by 20.4% over the past year, determining a market capitalization of $35.47 billion and a 52-week range of $36.65 to $64.50.

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Wall Street sell-side analysts recommend a hold rating for this stock and have established an average target price of $42.89 per share.

Cemex SAB de CV

The third stock investors may be interested in is Cemex SAB de CV (CX, Financial), a Mexican building materials company.

The stock traded at $3.18 per share at close on Aug. 4 for a price-sales ratio of 0.02, which is more compelling than the industry median of 0.88.

Cemex SAB de CV has a positive GuruFocus profitability rating of 5 out of 10, driven by an operating margin of 9.58% (versus the industry median of 9.1%) and a three-year revenue growth rate of 2.3%.

The basic materials stock has received a positive GuruFocus financial strength of 5 out of 10, primarily as a result of the absence of debt.

Over the past year, the share price has increased almost 2% for a market capitalization of $4.8 billion, determining a 52-week range of $1.55 to $4.98.

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Wall Street sell-side analysts recommend an overweight rating for the stock and have produced an average target price of $3.58 per share.

Disclosure: I have no positions in any securities mentioned in this article.

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