6 Stocks Trading Below Peter Lynch Value

New Mountain Finance tops the list

Author's Avatar
Dec 20, 2017
Article's Main Image

According to the GuruFocus All-in-One Screener, several gurus are focusing on stocks whose Peter Lynch fair values are far above the current prices. The following stocks are trading with wide margins of safety and have positive performances over the past 12 months.

New Mountain Finance Corp. (NMFC, Financial) is trading around $14 per share. The Peter Lynch value gives the stock a fair price of $16.84, which suggests it is undervalued with a margin of safety of 17%. The stock started its positive upward trend three months ago; it now registers a positive performance of 5.1%.

1302545306.png

The investment management company has a market cap of $1.05 billion and an enterprise value of $1.84 billion.

The stock is trading with a price-earnings (P/E) ratio of 9.21, which is higher than 58% of companies in the Global Asset Management industry. The stock price is currently 7.33% below its 52-week high and 2.58% above its 52-week low. The price-book (P/B) ratio is 1.02.

With 0.04% of outstanding shares, Paul Tudor Jones (Trades, Portfolio) is the company's sole guru shareholder.

TTM Technologies Inc. (TTMI, Financial) is trading around $16.52 per share. The Peter Lynch value gives the stock a fair price of $26.25, suggesting it is undervalued with a margin of safety of 37%. The stock started its positive upward trend three months ago; it currently registers a positive performance of about 12.1%.

The manufacturer of printed circuit boards has a market cap of $1.68 billion and an enterprise value of $2.37 billion.

The stock is trading with a P/E ratio of 26.23, which is lower than 54% of companies in the Global Contract Manufacturers industry. The stock price is currently 15.46% below its 52-week high and 29.52% above its 52-week low. The P/B ratio is 1.79.

The company's largest guru shareholder is Chuck Royce (Trades, Portfolio) with 1.66% of outstanding shares, followed by John Hussman (Trades, Portfolio) with 0.2%, Joel Greenblatt (Trades, Portfolio) with 0.03% and David Dreman (Trades, Portfolio) with 0.02%.

Fiat Chrysler Automobiles NV (FCAU, Financial) is trading around $18.2 per share. The Peter Lynch value gives the stock a fair price of $26.67, suggesting it is undervalued with a margin of safety of 31%. The stock started its positive upward trend three months ago; it registered a positive performance of about 8.2%.

The carmaker has a market cap of $35.47 billion and an enterprise value of $42.61 billion.

The stock is trading with a P/E ratio of 7.77, which is higher than 86% of companies in the Global Auto Manufacturers industry. The stock price is currently 0.71% below its 52-week high and 107.29% above its 52-week low. The P/B ratio is 1.48.

Ruane Cunniff (Trades, Portfolio) is the company's largest guru shareholder with 1.29% of outstanding shares, followed by Chase Coleman (Trades, Portfolio) with 1.28%, Bill Nygren (Trades, Portfolio) with 1.19% and Mohnish Pabrai (Trades, Portfolio) with 0.67%.

Sterling Bancorp (STL, Financial) is trading around $25.85 per share. The Peter Lynch value gives the stock a fair price of $29.96, suggesting it is undervalued with a margin of safety of 14%. The stock started its positive upward trend three months ago; it currently registers a positive performance of about 8.2%.

The financial services company has a market cap of $5.81 billion and an enterprise value of $8.86 billion.

The stock is trading with a P/E ratio of 20.55, which is lower than 75% of companies in the Global Regional Banks industry. The stock price is currently 2.45% below its 52-week high and 23.10% above its 52-week low. The P/B ratio is 2.97.

The company's largest guru shareholder is Mario Gabelli (Trades, Portfolio) with 0.52% of outstanding shares, followed by Kahn Brothers (Trades, Portfolio) with 0.41%, Diamond Hill Capital (Trades, Portfolio) with 0.29% and Jim Simons (Trades, Portfolio) with 0.23%.

Briggs & Stratton Corp. (BGG, Financial) is trading around $25.19 per share. The Peter Lynch value gives the stock a fair price of $31.75, suggesting it is undervalued with a margin of safety of 21%. The stock started its positive upward trend three months ago; it registered a positive performance of about 13.6%.

1466606488.png

The company makes gasoline engines and outdoor power equipment. It has a market cap of $1.08 billion and an enterprise value of $1.31 billion.

The stock is trading with a P/E ratio of 19.73, which is higher than 61% of companies in the Global Diversified Industrials industry. The stock price is currently 2.93% below its 52-week high and 25.95% above its 52-week low. The P/B ratio is 1.98.

Charles Brandes (Trades, Portfolio) is the company's largest guru shareholder with 5.88% of outstanding shares, followed by Jeremy Grantham (Trades, Portfolio) with 0.17%, Greenblatt with 0.1% and Simons with 0.09%.

The Stars Group Inc. (TSG, Financial) is trading around $23.4 per share. The Peter Lynch value gives the stock a fair price of $32.50, suggesting it is undervalued with a margin of safety of 28%. The stock started its positive upward trend three months ago; it currently registers a positive performance of about 20.6%.

The company operates online, mobile and land-based casinos. It has a market cap of $3.48 billion and an enterprise value of $5.17 billion.

The stock is trading with a P/E ratio of 17.97, which is higher than 60% of companies in the Global Gambling industry. The stock price is currently 2.50% below its 52-week high and 76.74% above its 52-week low. The P/B ratio is 1.56.

The company's largest guru shareholder is David Einhorn (Trades, Portfolio) with 2.69% of outstanding shares, followed by Simons with 0.16%, Louis Moore Bacon (Trades, Portfolio) with 0.08% and Greenblatt with 0.02%.

Disclosure: I do not own any stocks mentioned in this article.