Bob Olstein Recommends 3 Undervalued Stocks

Olstein's fund rose 16% this year, and he is still finding mispriced stocks, he told Fox Business

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Dec 12, 2016
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Olstein Capital Management’s all-cap value fund rose 16%, and small-cap fund rose 25% this year as Bob Olstein’s team realized gains from the undervalued regional banks and mutual funds management companies that struggled in 2015.

“That’s how value investing is. You have to have patience and a very strong stomach while you’re waiting for people to recognize their value,” Olstein said in a Fox Business interview Friday.

Olstein also told the interviewers where investors could find stocks as cheap as regional banks were a year ago: Bed Bath & Beyond (BBBY, Financial), Oracle (ORCL, Financial) and Disney (DIS, Financial). He does not like Netflix (NFLX, Financial).

This month, Olstein released a letter to shareholders reflecting on the 10-year life of his Olstein Strategic Opportunities Fund, saying “The current environment has resulted in many long-term opportunities for the Fund as the stock prices of many small- to mid-sized companies have fallen materially below our estimate of long-term intrinsic value due to short-term factors that we believe are temporary.”