Growing EPS for Undervalued Stocks

World Acceptance, Deckers Outdoor are on the list

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May 17, 2016
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Companies with growing EPS are often a good investment as they can return a good profit to investors. Here is a selection of the most undervalued companies, according to the DCF calculator, that have a five-year growing EPS.

Earnings per share of Ever-Glory International Group Inc.Ă‚ (EVK) grew by 15% over the last five years; according to the DCF calculator, the stock at the price of $1.65 is undervalued and trading with a margin of safety of 94%.

Ever-Glory International Group is an apparel supply chain management provider, manufacturer, distributor and retailer based in the People's Republic of China with customers in China, the U.S., Europe and Japan.

The stock is trading with a PE ratio of 2.00, has been as high as $6.17 and as low as $1.35 in the last 52 weeks and is currently -70.50% from its 52-week high and +34.81% from its 52-week low.

Earnings per share of World Acceptance Corp. (WRLD) grew by 21% over the last five years; according to the DCF calculator, the stock at the price of $40.04 is undervalued and trading with a margin of safety of 86%.

World Acceptance provides small-loan consumer finance companies, offering short-term small installment loans, medium-term larger installment loans, related credit insurance and ancillary products and services to individuals.

Net income for the third quarter decreased 20.2% and net income per diluted share decreased 15.5% to $1.70 in the third quarter of fiscal 2016 compared to $2.01 in the prior-year quarter.

The stock is trading with a PE ratio of 4.11, has been as high as $94.70 and as low as $25.30 in the last 52 weeks and is currently 57.14% below its 52-week high and 60.43% above its 52-week low.

Earnings per share of Banco Macro SAĂ‚ (BMA) grew by 40% over the last five years; according to the DCF calculator, the stock at the price of $62.19 is undervalued and trading with a margin of safety of 72%.

Banco Macro provides standard banking products and services. The bank provides its customers with standard products and services that are designed to suit individual needs.

During the first quarter Banco Macro's total deposits grew 9% quarter over quarter, and net income was 26% higher than the first quarter of 2015.

The stock is trading with a PE ratio of 9.90, has been as high as $74.64 and as low as $35.93 in the last 52 weeks and is currently 15.50% below its 52-week high and 75.54% above its 52-week low.

George Soros (Trades, Portfolio) is the company's largest shareholder among the gurus, with 0.01% of outstanding shares followed by Ken Fisher (Trades, Portfolio) with 0.01%.

Earnings per share of BofI Holding Inc.(BOFI) grew by 22% over the last five years; according to the DCF calculator, the stock at the price of $17.29 is undervalued and trading with a margin of safety of 66%.

BofI Holding through its bank holding provides diversified financial services including consumer and business banking products through the branchless distribution channels and affinity partners.

The first quarter was a solid start to the year in terms of operations in which cash costs for the quarter and all-in sustaining cash costs were particularly strong and were 18% and 12% lower compared to the first quarter of 2015.

The stock is trading with a PE ratio of 90.87, has been as high as $35.87 and as low as $13.47 in the last 52 weeks and is 50.94% below its 52-week high and 31.03% above its 52-week low.

The largest shareholders among the gurus are Jim Simons (Trades, Portfolio) with 1.97% of outstanding shares followed by Paul Tudor Jones (Trades, Portfolio) with 0.04% and Chuck Royce (Trades, Portfolio) with 0.03%.

Earnings per share of Allegiant Travel Co.Ă‚ (ALGT) grew by 9% over the last five years; according to the DCF calculator, the stock at the price of $142.65 is undervalued and trading with a margin of safety of 63%.

Allegiant Travel is a leisure travel company focusing on providing travel services and products to residents of small, underserved cities in the U.S. It operates a low-cost passenger airline marketed to leisure travelers in small cities, allowing it to sell air transportation both on a stand-alone basis with the sale of air-related and third-party services and products.

During the first quarter total operating revenue grew 5.9% and operating income increased 12.1%. The company reported 14.7% increase for diluted earnings per share and 11.0% increase for net income.

The stock is trading with a PE ratio of 10.44, has been as high as $283.13 and as low as $134.64 in the last 52 weeks and is 41.03% below its 52-week high and 4.29% above its 52-week low.

Simons is the company's largest shareholder among the gurus with 7.64% of outstanding shares followed by Joel Greenblatt (Trades, Portfolio) with 0.52%, Ronald Muhlenkamp (Trades, Portfolio) with 0.32%, PRIMECAP Management (Trades, Portfolio) with 0.26% and Jones with 0.01%.

Earnings per share of Deckers Outdoor Corp.Ă‚ (DECK) grew by 6% over the last five years; according to the DCF calculator, the stock at the price of $50.40 is undervalued and trading with a margin of safety of 61%.

Deckers Outdoor is engaged in designing, marketing and distribution of footwear, apparel and accessories developed for both everyday casual lifestyle use and high performance activities.

During the last quarter net sales increased 3.6% on a constant currency basis. On a reported basis, net sales increased 1.4% and gross margin was 49.1% compared to 52.9% for the same period last year.

The stock is trading with a PE ratio of 11.85, has been as high as $76.49 and as low as $40.74 in the last 52 weeks and is 30.36% below its 52-week high and 30.76% above its 52-week low.

The largest shareholder among the gurus is Royce with 3.19% of outstanding shares followed by Simons with 0.53%, Barrow, Hanley, Mewhinney & Strauss with 0.19%, Scott Black (Trades, Portfolio) with 0.1% and Jones with 0.02%.

Earnings per share of Credit Acceptance Corp.Ă‚ (CACC) grew by 20% over the last five years; according to the DCF calculator, the stock at the price of $175.34 is undervalued and trading with a margin of safety of 58%.

Credit Acceptance offers automobile dealers financing programs that enable them to sell vehicles to consumers regardless of their credit histories.

First quarter net income was $3.63 per diluted share compared to consolidated net income of $3.41 per diluted share for the same period in 2015.

The stock is trading with a PE ratio of 12.28, has been as high as $277.98 and as low as $159.43 in the last 52 weeks and is 36.06% below its 52-week high and 11.49% above its 52-week low.

Simons is the company's largest shareholder among the gurus with 0.95% of outstanding shares followed by Jeremy Grantham (Trades, Portfolio) with 0.03%, Murray Stahl (Trades, Portfolio) with 0.01% and Jones with 0.01%.

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