Companies growing their earnings per share are often good investments because they can return a solid profit to investors. According to the discounted cash flow calculator, the following undervalued companies have grown their earnings over a five-year period.
The earnings per share of Brinker International Inc. (EAT, Financial) have grown 6% annually over the last five years.
According to the DCF calculator, the stock is undervalued and is trading with a 37% margin of safety at $47.1 per share. The price-earnings ratio is 17.18. The stock price has been as high as $54.14 and as low as $29.94 in the last 52 weeks; it is currently 12.91% below its 52-week high and 57.48% above its 52-week low.
The company, which operates casual dining restaurants like Chili's and Maggiano's Little Italy, has a market cap of $1.92 billion and an enterprise value of $3.42 billion.
The company’s largest shareholder among the gurus is Pioneer Investments (Trades, Portfolio) with 1.58% of outstanding shares, followed by Steven Cohen (Trades, Portfolio) with 1.02% and Joel Greenblatt (Trades, Portfolio) with 0.18%.
Hawaiian Holdings Inc.'s (HA, Financial) earnings per share have grown 54% per year over the last five years.
According to the DCF calculator, the stock is undervalued and is trading with a 45% margin of safety at $38 per share. The price-earnings ratio is 5.63.
The airline has a market cap of $2.03 billion and an enterprise value of $2.12 billion.
With 2% of outstanding shares, Chuck Royce (Trades, Portfolio) is the company's largest guru shareholder, followed by PRIMECAP Management (Trades, Portfolio) with 1.64% and Martin Whitman's Third Avenue Management (Trades, Portfolio) with 0.9%.
Allegiant Travel Co.'s (ALGT, Financial) earnings per share have grown 31% per year over the last five years.
According to the DCF calculator, the stock is undervalued and is trading with a 65% margin of safety at $123 per share. The price-earnings ratio is 10. The stock price has been as high as $181.45 and as low as $117.30 in the last 52 weeks; it is currently 30.61% below its 52-week high and 7.34% above its 52-week low.
The company, which provides travel-related services, has a market cap of $2.05 billion and an enterprise value of $2.81 billion.
With 3.15% of outstanding shares, First Pacific Advisors (Trades, Portfolio) is the company's largest guru shareholder, followed by Diamond Hill Capital (Trades, Portfolio) with 2.59%.
The earnings per share of Axos Financial Inc. (AX, Financial) have grown 28% per year over the last five years.
According to the DCF calculator, the stock is undervalued and is trading with a 49% margin of safety at $34.39 per share. The price-earnings ratio is 14.45. The stock price has been as high as $45.18 and as low as $24.20 in the last 52 weeks; it is currently 23.88% below its 52-week high and 42.11% above its 52-week low.
The financial services company has a market cap of $2.16 billion and an enterprise value of $2.05 billion.
The company’s largest guru shareholder is Royce with 0.76% of outstanding shares, followed by David Dreman (Trades, Portfolio) with 0.02%.
Stella-Jones Inc.'s (STLJF, Financial) earnings per share have grown 17% per year over the last five years.
According to the DCF calculator, the stock is undervalued and is trading with a 34% margin of safety at $33.47 per share. The price-earnings ratio is 18.24. The stock price has been as high as $40.90 and as low as $36.20 in the last 52 weeks; it is currently 18.17% below its 52-week high.
The company, which provides lumber and wood products, has a market cap of $2.32 billion and an enterprise value of $2.77 billion.
The earnings per share of Ebix Inc. (EBIX, Financial) have grown 15% per year over the last five years.
According to the DCF calculator, the stock is undervalued and is trading with a 4% margin of safety at $78 per share. The price-earnings ratio is 23.70. The stock price has been as high as $89.10 and as low as $63.57 in the last 52 weeks; it is currently 12.37% below its 52-week high and 22.83% above its 52-week low.
The company supplies software and e-commerce solutions. It has a market cap of $2.5 billion and an enterprise value of $3.02. billion.
With 0.15% of outstanding shares, Royce is the company's largest guru shareholder, followed by Paul Tudor Jones (Trades, Portfolio) with 0.03%, Pioneer Investments with 0.03% and Caxton Associates (Trades, Portfolio) with 0.01%.
Disclosure: I do not own any stocks mentioned in this article.
