>
  1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
Tiziano Frateschi
Tiziano Frateschi
Articles (2748)  | Author's Website |

5 Undervalued Companies With Profitable Business

Nexstar makes the list

According to the GuruFocus discounted cash flow calculator as of Dec. 30, the following companies have a high margin of safety and have grown their margins over a 10-year period.

Nexstar

Nexstar Media Group Inc.'s (NXST) net margin and operating margin have grown by 8.49% and 22.32%, respectively, per annum over the past 10 years.

According to the DCF calculator, the stock is undervalued with a 14.56% margin of safety at $108.54 per share. The price-earnings ratio is 9.14. The share price has been as high as $133.25 and as low as $43.37 in the last 52 weeks; it is currently 18.54% below its 52-week high and 150.27% above its 52-week low.

626afe223ff4a326d3d42fe5e0df4b4d.png

The U.S television station owner/operator has a market cap of $4.78 billion and an enterprise value of $12.31 billion.

The company's largest guru shareholder is Seth Klarman (Trades, Portfolio)'s The Baupost Group with 4.73% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.33% and Mario Gabelli (Trades, Portfolio) with 0.21%.

Turkcell Iletisim Hizmetleri

The net margin of Turkcell Iletisim Hizmetleri AS (TKC) has grown 14.44% per annum over the past decade. The operating margin has grown 17.56% per annum over the past decade.

According to the DCF calculator, the stock is undervalued with a 12.26% margin of safety at $5.36 per share. The price-earnings ratio is 9.49. The share price has been as high as $6.36 and as low as $4.36 in the last 52 weeks; it is currently 15.72% below its 52-week high and 22.94% above its 52-week low.

f4326f46f2c88cec343c71d694fa08c1.png

The Turkish mobile telephone services provider has a market cap of $4.68 billion and an enterprise value of $5.84 billion.

With 0.01% of outstanding shares, Caxton Associates (Trades, Portfolio) is the company's largest guru shareholder.

Simpson Manufacturing

Simpson Manufacturing Co. Inc. (SSD) has grown its net margin and operating margin by 8.50% and 13.91%, respectively, per year over the past decade.

According to the DCF calculator, the stock is undervalued with a 21% margin of safety at $93.05 per share. The price-earnings ratio is 22.05. The share price has been as high as $104.34 and as low as $47.02 in the last 52 weeks; it is currently 10.82% below its 52-week high and 97.89% above its 52-week low.

e140d3e96a2e660f2273dbfb6a09fd74.png

The company, which manufactures wood construction products, has a market cap of $4.04 billion and an enterprise value of $3.85 billion.

The company's largest guru shareholder is John Rogers (Trades, Portfolio) with 1.34% of outstanding shares followed by Chuck Royce (Trades, Portfolio) with 1% and Ken Fisher (Trades, Portfolio) with 0.37%.

Grand Canyon Education

The net margin of Grand Canyon Education Inc. (LOPE) has grown 16.51% per annum over the past decade. The operating margin has grown 26.60% annually over the same period.

According to the DCF calculator, the stock is undervalued with a 35.80% margin of safety at $94.86 per share. The price-earnings ratio is 18.28. The share price has been as high as $106.14 and as low as $57.89 in the last 52 weeks; it is currently 10.63% below its 52-week high and 63.86% above its 52-week low.

bb46b26bf28c381d5b73eefd9110ac50.png

The U.S for-profit educational company has a market cap of $34.06 billion and an enterprise value of $32.01 billion.

The company's largest guru shareholder is Jim Simons (Trades, Portfolio)' Renaissance Technologies with 0.74% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.13% and Ray Dalio (Trades, Portfolio)'s Bridgewater Associates with 0.05%.

Micro Focus International

Micro Focus International PLC's (MFGP) net margin and operating margin have grown 23.07% and 35.06%, respectively, per year over the past 10 years.

The price-book ratio is 0.37. The share price has been as high as $14.77 and as low as $2.78 in the last 52 weeks; it is currently 61.21% below its 52-week high and 106.12% above its 52-week low.

307aff8a385077de3dc758bb4788a16f.png

The U.K.-based software solutions provider has a market cap of $1.94 billion and an enterprise value of $6.62 billion.

With 10.37% of outstanding shares, Dodge & Cox is the company's largest guru shareholder, followed by Jim Simons (Trades, Portfolio)' Renaissance Technologies with 0.22% and Sarah Ketterer (Trades, Portfolio) with 0.08%.

Disclosure: I do not own any stocks mentioned.

Read more here:

Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.

About the author:

Tiziano Frateschi
You can read about me on www.theextraincome.info, which gives suggestions on position trading.

Visit Tiziano Frateschi's Website


Rating: 0.0/5 (0 votes)

Comments

Please leave your comment:



Performances of the stocks mentioned by Tiziano Frateschi


User Generated Screeners


pjmason14Momentum
wigbertHigh FCF-M2
kosalmmuse6
kosalmmuseBest one1
DBrizanall 2019Feb26
kosalmmuseBest one
DBrizanall 2019Feb25
kosalmmuseNice
kosalmmusehan
MsDale*52-Week Low
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)