Picking stocks whose market capitalization surpasses $2 billion and whose price-book ratio is trading below 1.5 could grant investors a higher chance of unearthing value opportunities.
Thus, value investors may be interested in the following stocks, as they meet the above-listed criteria.
Westpac Banking Corp
The first company that meets the criteria is Westpac Banking Corp WBK, an Australian global bank.
The stock price was trading at around $15 per share at close on Dec. 14 for a market capitalization of $54.16 billion and a price-book ratio of 1.10. Westpac's book value was $13.61 per share as of the most recent fiscal year that ended in Sepember.
The stock price has decreased by 10.75% over the past year for a 52-week range of $7.98 to $17.29.
GuruFocus assigned a score of 2 out of 10 to the financial strength rating and of 4 out of 10 to the profitability of the company.
The stock has an overweight recommendation rating and an average target price of $15.21 per share on Wall Street.
Centrais Eletricas Brasileiras SA
The second company that meets the above characteristics is Centrais Eletricas Brasileiras SA EBR, a Brazilian generator and distributor of electricity in Brazil.
The stock price was trading at around $7.46 per share at close on Dec. 14 for a market capitalization of $11.71 billion and a price-book ratio of 0.83. Centrais Eletricas Brasileiras' book value was $8.95 per share as of the most recent quarter.
The stock price has declined by 16.07% over the past year for a 52-week range of $2.96 to $10.10.
GuruFocus assigned a score of 4 out of 10 for both the company's financial strength and its profitability.
The stock has a buy recommendation rating and an average target price of $9.35 per share on Wall Street.
Shinhan Financial Group Co Ltd
The third company that meets the criteria is Shinhan Financial Group Co Ltd SHG, a South Korean bank providing financial services and products in South Korea and internationally.
The stock price was trading at around $30.94 per share on Dec. 14 for a market capitalization of $15.98 billion and a price-book ratio of 0.47. Shinhan's book value was $66.04 per share as of the most recent quarter.
The stock price has declined 19.07% over the past year, determining a 52-week range of $17.09 to $39.74.
GuruFocus assigned a score of 2 out of 10 for the company's financial strength rating and of 5 out of 10 for its profitability rating.
The stock has a buy recommendation rating with an average target price of $36.12 per share on Wall Street.
Disclosure: I have no positions in any securities mentioned in this article.
Read more here:
- 3 High Earnings Return Stock Picks for the Value Investor
- A Trio of Stocks With Attractive Forward Price-Earnings Ratios
- 3 Low Price-Sales Ratio Stock Picks
Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.
