The following three companies could be of interest to investors, as their stocks have forward price-earnings ratios that are trading below the S&P 500's historical average of 15. The projections of future earnings are based on data from Morningstar analysts.
Luxfer Holdings PLC
The first stock that qualifies is Luxfer Holdings PLC (LXFR, Financial), a Manchester, United Kingdom-based manufacturer of specialty industrial machineries such as high-performance materials and high-pressure gas cylinders for applications in various industries.
Luxfer has a forward price-earnings ratio of 12.56 (versus the industry median of 21.36), which results from Monday's closing price of $14.03 per share and analyst expectations for net earnings per share (EPS) of approximately $1.12 for the next full fiscal year.
The stock price has fallen by 17.1% over the past year for a market capitalization of $399.14 million and a 52-week range of $10.27 to $19.35.
GuruFocus has assigned a rating of 5 out of 10 for the company's financial strength and a rating of 7 out of 10 for its profitability.
Wall Street sell-side analysts recommend an overweight rating with an average price target of $19.67 per share of Luxfer Holdings PLC.
Ferro Corp
The second stock that makes the cut is Ferro Corp (FOE, Financial), a Mayfield Heights, Ohio-based producer and marketer of specialty materials for manufacturers of ceramic tiles, building materials, automobile parts and various electronic components.
Ferro has a forward price-earnings ratio of 14.81 (versus the industry median of 19.81), which derives from Monday's closing price of $14.08 per share and analyst expectations for EPS of approximately 95 cents for the next full fiscal year.
The stock price has risen by nearly 10% over the past year for a market capitalization of $1.16 billion and a 52-week range of $7.52 to $15.67.
GuruFocus has assigned a rating of 4 out of 10 for the company's financial strength and a rating of 6 out of 10 for its profitability.
Wall Street sell-side analysts recommend an overweight rating with an average price target of $16 per share of Ferro Corp.
eHealth Inc
The third stock that holds the criteria is eHealth Inc (EHTH, Financial), a Santa Clara, California-based private health insurance broker serving American and Chinese individuals, households and small businesses.
eHealth Inc has a forward price-earnings ratio of 14.97 (versus the industry median of 11.74), which derives from Monday's closing price of $73.98 per share and analysts' expectations for EPS of approximately $4.94 for the next full fiscal year.
The stock price has declined by 10.53% over the past year for a market capitalization of $1.92 billion and a 52-week range of $60.40 to $152.19.
GuruFocus has assigned a rating of 7 out of 10 for the company's financial strength and a rating of 6 out of 10 for its profitability.
Wall Street sell-side analysts recommend a buy rating with an average price target of $128 per share of eHealth Inc.
Disclosure: I have no positions in any securities mentioned.
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