5 Predictable Guru Stocks

Snap-on makes the list

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Jan 28, 2021
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According to the GuruFocus All-in-One Screener, a Premium feature, the following companies have high business predictability ratings and wide margins of safety as of Jan. 28.

Snap-on

Snap-on Inc. (SNA) has a four-star business predictability rank and, according to the discounted cash flow calculator, a 27.92% margin of safety at an average price of $187 per share.

The company, which provides premium tools and software for professional technicians, has a market cap of $9.68 billion and an enterprise value of $10.43 billion. Over the past five years, its revenue and earnings per share have increased 11.90% and 3.50%, respectively.

Over the past 12 months, the stock has risen 13% and is currently trading with a price-earnings ratio of 17.5. The share price has been as high as $190 and as low as $90.72 in the last year. As of Jan. 28, the stock was trading 1.26% below its 52-week high and 106% above its 52-week low.

With 1.86% of outstanding shares, John Rogers (Trades, Portfolio) is the company's largest guru shareholder, followed by the T Rowe Price Equity Income Fund (Trades, Portfolio) with 1.11% and Richard Pzena (Trades, Portfolio) with 0.47%.

Lithia Motors

Lithia Motors Inc. (LAD) has a five-star business predictability rank and, according to the DCF calculator, a 20.61% margin of safety at the average price of $320 per share.

The company, which retails new and used vehicles and related services, has a market cap of $9.04 billion and an enterprise value of $12.69 billion. Over the past five years, its revenue has grown 17.50% and its earnings per share have risen 17.60%.

The stock has climbed 129% over the past 12 months and shares are trading with a price-earnings ratio of 21.19. The share price has been as high as $353 and as low as $55.74 in the last 52 weeks. As of Jan. 28, the stock was trading 9.46% below its 52-week high and 474% above its 52-week low.

The company's largest guru shareholder is David Abrams (Trades, Portfolio) with 8.39% of outstanding shares, followed by Chuck Royce (Trades, Portfolio) with 0.13% and Steven Cohen (Trades, Portfolio) with 0.13%.

East West Bancorp

East West Bancorp Inc. (EWBC) has a three-star business predictability rank and, according to the DCF calculator, a 46.06% margin of safety at an average price of $59 per share.

The holding company has a $8.93 billion market cap and an enterprise value of $6.12 billion. Over the past five years, its revenue has increased 10.60% and its earnings per share have risen 15.90%.

The share price has risen 24% over the past 12 months. The stock is trading with a price-earnings ratio of 14.34. The share price has been as high as $63.35 and as low as $22.55 in the last 52 weeks. As of Jan. 28, the stock was trading 7.37% below its 52-week high and 161% above its 52-week low.

With 0.94% of outstanding shares, Ken Fisher (Trades, Portfolio) is the company's largest guru shareholder, followed by Pioneer Investments (Trades, Portfolio) with 0.35% and Jim Simons (Trades, Portfolio)' Renaissance Technologies with 0.15%.

Signature Bank

Signature Bank (SBNY) has a four-star business predictability rank and, according to the DCF calculator, a 38.23% margin of safety at an average price of $160 per share.

The bank has a market cap of $8.87 billion and an enterprise value of $6 billion. Over the past five years, its revenue has increased 9.60%.

Shares have risen 10% compared to 12 months ago. The stock is currently trading with a price-earnings ratio of 16.76. The share price has been as high as $166 and as low as $68.98 in the last 52 weeks. As of Jan. 28, the stock was trading 4.42% below its 52-week high and 131% above its 52-week low.

The company's largest guru shareholder is Steven Romick (Trades, Portfolio) with 1.54% of outstanding shares, followed by First Pacific Advisors (Trades, Portfolio) with 1.54% Simons' firm with 0.49%.

Robert Half International

Robert Half International Inc. (RHI) has a three-star business predictability rank and, according to the DCF calculator, a 14.94% margin of safety at an average price of $65.4 per share.

The global staffing firm has a market cap of $7.88 billion and an enterprise value of $7.60 billion. Over the past five years, its revenue has grown 4.90% and its earnings per share have risen 10.30%.

Shares have increased 7% compared to 12 months ago. The share price has been as high as $70.15 and as low as $32.28 in the last 52 weeks. As of Jan. 28, the stock was trading 6.66% below its 52-week high and 102% above its 52-week low.

With 1.08% of outstanding shares, Pioneer Investments (Trades, Portfolio) is the company's largest guru shareholder, followed by Simons' firm with 0.33% and Ron Baron (Trades, Portfolio) with 0.09%.

Disclosure: I do not own any stocks mentioned.

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