1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
Tiziano Frateschi
Tiziano Frateschi
Articles (1940)  | Author's Website |

6 Stocks With Margin of Safety and Growing Book Value

British American Tobacco makes the list

November 04, 2018 | About:

According to the GuruFocus All-In-One Screener, the following companies have grown their book value per share (BV/S) over the last decade.

BV/S is calculated as total equity minus preferred stock, divided by shares outstanding. Theoretically, it is what shareholders will receive if a company is liquidated. Total equity is a balance sheet item and equal to total assets minus total liabilities. Since the BV/S may not reflect the company’s true value, some investors check the tangible book value to confirm their investment ideas.

The BV/S of Taiwan Semiconductor Manufacturing Co. (TSM) has grown 13% over the last 10 years. The price-book ratio is 4.1 and the price to tangible book value is 4.1.

1247897917.png

The company, which manufactures and tests integrated circuits and other semiconductor devices, has a $197.7 billion market cap.

According to the discounted cash flow calculator, the stock is undervalued and is trading with a 18% margin of safety at $39. The stock price has been as high as $45.57 and as low as $35.35 in the last 52 weeks. As of Friday, it is 16.15% below its 52-week high and 10.47% above its 52-week low. The price-earnings ratio is 17.30.

Sarah Ketterer (Trades, Portfolio) is the largest guru shareholder of the company with 0.12% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.07%, Jim Simons' (Trades, Portfolio) Renaissance Technologies with 0.07% and Howard Marks (Trades, Portfolio)’ Oaktree Capital Management LP with 0.06%.

Fresenius Medical Care AG & Co. (FMS)'s BV/S has grown 10% over the past decade. The price-book ratio is 1.9.

282560901.png

The company, which develops and manufactures a full range of dialysis machines, systems, and disposable products, has a market cap of $24.29 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 21% margin of safety at $39. The stock price has been as high as $57.94 and as low as $38.43 in the last 52 weeks. As of Friday, it is 31.69% below its 52-week high and 2.99% above its 52-week low. The price-earnings ratio is 11.06.

The company’s largest guru shareholder is Simons with 0.01% of outstanding shares.

The BV/S of Nippon Gas Co. Ltd. (NPPGF) has grown 13% over the last 10 years. The price-book ratio is 2.0 and the price to tangible book value is 2.3.

840433470.png

The company, which operates in the supply of gas and gas equipment, has a $1.32 billion market cap.

According to the DCF calculator, the stock is undervalued and is overpriced by 73% at $39.6. The price-earnings ratio is 20.69.

CCL Industries Inc. (CCDBF)'s BV/S has grown 11% over the past decade. The price-book ratio is 4.2.

1958734791.png

The company operates in the manufacturing of packaging-related products. It has a market cap of $7.67 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 33% margin of safety at $42.96. The stock price has been as high as $52.13 and as low as $39.96 in the last 52 weeks. As of Friday, it is 17.50% below its 52-week high and 7.51% above its 52-week low. The price-earnings ratio is 19.78.

The BV/S of Novo Nordisk A/S ADR (NVO) has grown 7% over the last 10 years. The price-book ratio is 14.0 and the price to tangible book value is 15.3.

1998023638.png

The company which operates in the discovery, development and marketing of pharmaceutical products, has a market cap of $104.22 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 40% margin of safety at $43.85. The stock price has been as high as $58.37 and as low as $41.23 in the last 52 weeks. It is currently 24.88% below its 52-week high and 6.35% above its 52-week low. The price-earnings ratio is 17.80.

With 0.5% of outstanding shares, Simons’ firm is the company's largest guru shareholder, followed by Ken Fisher (Trades, Portfolio) with 0.57%, Tom Gayner (Trades, Portfolio)’s Markel Gayner Asset Management Corp. with 0.04% and Jeremy Grantham (Trades, Portfolio) with 0.03%.

British American Tobacco PLC ADR (BTI)'s BV/S has grown 9% over the past decade. The price-book ratio is 1.3.

665623930.png

The manufacturer of cigarettes and other tobacco products, has a market cap of $100.09 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 93% margin of safety at $44. The stock price has been as high as $71.44 and as low as $41.69 in the last 52 weeks. As of Friday, it was 37.99% below its 52-week high and 6.26% above its 52-week low. The price-earnings ratio is 1.93.

With 0.06% of outstanding shares, Lee Ainslie (Trades, Portfolio) is the company's largest guru shareholder followed by Ketterer with 0.03% and David Winters (Trades, Portfolio) with 0.01%.

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

About the author:

Tiziano Frateschi
You can read about me on www.theextraincome.info, which gives suggestions on position trading.

Visit Tiziano Frateschi's Website


Rating: 0.0/5 (0 votes)

Comments

Please leave your comment:


Performances of the stocks mentioned by Tiziano Frateschi


User Generated Screeners


pjmason14Momentum
pascal.van.garsseHigh FCF-M2
kosalmmuse6
kosalmmuseBest one1
DBrizanall 2019Feb26
kosalmmuseBest one
DBrizanall 2019Feb25
kosalmmuseNice
kosalmmusehan
MsDale*52-Week Low
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}
FEEDBACK