When investors pick stocks whose market capitalization is more than $10 billion and whose price-book ratio stands below 1.5, they increase their chance to discover value stocks.
Thus, value investors may be interested in the following stocks, as they have the above-listed criteria.
BP PLC
The first company that has the criteria is BP PLC (BP, Financial), a London-based oil and gas giant.
The company's American Depository Receipts (ADRs) were trading at a price of $21.91 each at close on Aug. 24 for a market capitalization of $74.82 billion and a price-book ratio of 1.04.
The stock has declined 39.64% over the past year for a 52-week range of $15.51 to $40.08.
GuruFocus assigned a moderate rating of 4 out of 10 to the financial strength and a positive rating of 5 out of 10 to the profitability of the company.
The stock has an overweight recommendation rating and an average target price of $29.67 per ADR on Wall Street.
Teva Pharmaceutical Industries Ltd
The second company that qualifies is Teva Pharmaceutical Industries Ltd (TEVA, Financial), an Israeli developer, manufacturer and distributor of generic, specialty and biopharmaceutical medicines in North America, Europe and internationally.
The company's ADRs were trading at a price of $9.63 each at close on Aug. 24 for a market capitalization of $10.63 billion and a price-book ratio of 0.77.
The stock price has increased by 29.78% over the past year, determining a 52-week range of $6.07 to $13.76.
GuruFocus assigned a low rating of 3 out of 10 for the company's financial strength and a positive rating of 6 out of 10 for its profitability.
The stock has a hold recommendation rating and an average target price of $12.26 per ADR on Wall Street.
Annaly Capital Management Inc
The third company that makes the cut is Annaly Capital Management Inc (NLY, Financial), a New York-based large mortgage real estate investment trust company focusing on residential and commercial assets.
Shares were trading at a price of $7.48 per piece on Aug. 24 for a market capitalization of $10.49 billion and a price-book ratio of 0.88.
The stock has declined by nearly 15% over the past year for a 52-week range of $3.51 to $10.50.
GuruFocus assigned a positive rating of 5 out of 10 for the company's financial strength and a low rating of 3 out of 10 for its profitability.
The stock has an overweight recommendation rating and an average target price of $8 per share on Wall Street.
Disclosure: I have no positions in any securities mentioned in this article.
Read more here:
- 3 Stocks With Low Price-Sales Ratios
- 3 Fast-Growing Small Caps to Consider
- A Trio of Stocks With Low Forward Price-Earnings Ratios
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