6 Health Care Stocks Trading With Low Price-Earnings Ratios

cbdMD makes the list

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Dec 10, 2020
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As of Dec. 10, the GuruFocus All-in-One Screener, a Premium feature, found that the following health care companies have low price-earnings ratios and are owned by gurus. While some of them are great value investments, others may need to be researched more carefully, according to the discounted cash flow calculator.

Anchiano Therapeutics

With a market cap of $11.95 million, Anchiano Therapeutics Ltd. (ANCN) has a price-earnings ratio of 10.53 and a price-book ratio of 13.89.

The stock has gained 1.32% over the last 12 months and is now 40.81% below the 52-week high and 215% above the 52-week low.

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The Israel-based pivotal-stage biopharmaceutical company has a GuruFocus profitability rating of 1 out of 10. The return on equity of -152.95% and return on assets of -90.23% are underperforming 86% of companies in the biotechnology industry. Its financial strength is rated 5 out of 10. The cash-debt ratio of 28.68 is far above the industry median of 9.83.

ZHONGCHAO

With a $44.85 million market cap, ZHONGCHAO Inc. (ZCMD) is trading with a price-earnings ratio of 11.84 and a price-book ratio of 1.64. According to the DCF calculator, the stock has a fair value of $1.63 while trading at $1.80.

The share price was stable over the past 12 months and is now 65.71% below the 52-week high and 13.21% above the 52-week low.

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The company, which provides healthcare information, education and training services, has a GuruFocus profitability rating of 5 out of 10. The return on equity of 20.27% and return on assets of 17.75% are outperforming 87% of companies in the healthcare providers and services industry. Its financial strength is rated 8 out of 10. The cash-debt ratio of 62.36 is far above the industry median of 0.70.

Happiness Biotech

With a market cap of $48.69 million, Happiness Biotech Group Ltd (HAPP) is trading with a price-earnings ratio of 3.70. According to the DCF calculator, the stock has a fair value of $5.44 while trading at $1.88.

Shares have declined 60.52% over the last 12 months and are now 69.18% below the 52-week high and 15.34% above the 52-week low.

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The nutraceutical and dietary supplements producer has a GuruFocus profitability rank of 5 out of 10. The company's return on equity of 18.41% and return on assets of 17.14% are outperforming 86% of competitors in the drug manufacturers industry. Its financial strength is rated 9 out of 10 with a cash-debt ratio of 16.56 that is far above the industry median of 0.93.

Jim Simons (Trades, Portfolio)' Renaissance Technologies is the company's largest guru shareholder with 1.05% of outstanding shares.

Titan Medical

Titan Medical Inc. (TMDI) has a market cap of $108.67 million and is trading with a price-earnings ratio of 11.90 and a price-book ratio of 27.70. According to the DCF calculator, the stock has a fair value of $1.18 while trading at $1.31.

Shares have climbed 134.81% over the last 12 months and are now trading 25.14% below the 52-week high and 991.67% above the 52-week low.cadb74fb4af10d978db61d4dfe0af802.png

The development-stage company has a GuruFocus profitability rating of 1 out of 10. The return on assets of -8.15% is underperforming 56% of companies in the medical devices and instruments industry. Its financial strength is rated 3 out of 10. The cash-debt ratio of 11.62 is far above the industry median of 2.07.

cbdMD

cbdMD Inc. (YCBD) has a market cap of $155 million. Its shares are trading with a price-earnings ratio of 2.79. According to the DCF calculator, the stock has a fair value of $12.44 while trading at $2.99.

Shares have risen 6.79% over the past 12 months and are currently trading 27.07% below the 52-week high and 498% above the 52-week low.5809eafb2bf75bf69a04268a1afe0df0.png

The return on equity of 50.58% and return on assets of 28.82% are outperforming 98% of competitors in the drug manufacturers industry. Its financial strength is rated 6 out of 10. The cash-debt ratio of 1.65 is above the industry median of 0.93.

The company's largest guru shareholder is Simons' firm with 0.51% of outstanding shares.

Disclosure: I do not own any stocks mentioned.

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