Companies that are growing their earnings 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 per share over a five-year period.
BorgWarner Inc.'s (BWA) earnings per share have grown 4.70% per year over the last five years.
According to the DCF calculator, the stock is undervalued with a 5.4% margin of safety at $41.70 per share. The price-earnings ratio is 10.05. The share price has been as high as $46.97 and as low as $32.46 in the last 52 weeks; it is currently 11.22% below its 52-week high and 28.47% above its 52-week low.
The supplier of Tier I auto parts has a market cap of $8.64 billion and an enterprise value of $10.35 billion.
With 4.80% of outstanding shares, Diamond Hill Capital (Trades, Portfolio) is the company's largest guru shareholder, followed by John Rogers (Trades, Portfolio) with 0.83% and Pioneer Investments (Trades, Portfolio) with 0.53%.
The earnings per share of Foot Locker Inc. (FL) have grown 3.80% per year over the last five years.
According to the DCF calculator, the stock is undervalued with a 17.36% margin of safety at $42.45 per share. The price-earnings ratio is 8.84. The share price has been as high as $68 and as low as $39.06 in the last 52 weeks; it is currently 37.57% below its 52-week high and 8.68% above its 52-week low.
The operator of sport retail stores has a market cap of $4.66 billion and an enterprise value of $6.96 billion.
With 0.21% of outstanding shares, Richard Pzena (Trades, Portfolio) is the company's largest guru shareholder, followed by Steven Cohen (Trades, Portfolio)’s Point72 Asset Management with 0.18% and Pioneer Investments (Trades, Portfolio) with 0.14%.
The earnings per share of Maximus Inc. (MMS) have grown 14.80% per year over the last five years.
According to the DCF calculator, the stock is undervalued with a 24.85% margin of safety at $73.6 per share. The price-earnings ratio is 21.40. The share price has been as high as $76.84 and as low as $60 in the last 52 weeks; it is currently 4.23% below its 52-week high and 22.65% above its 52-week low.
The operator of health and human services has a market cap of $4.70 billion and an enterprise value of $4.73 billion.
The company's largest guru shareholder is Ron Baron (Trades, Portfolio) with 1.16% of outstanding shares, followed by Jim Simons' (Trades, Portfolio) Renaissance Technologies with 0.70%.
Packaging Corp. of America (PKG)'s earnings per share have grown 13.70% per year over the last five years.
According to the DCF calculator, the stock is undervalued with a 56.22% margin of safety at $92.23 per share. The price-earnings ratio is 11.14. The share price has been as high as $118.88 and as low as $77.90 in the last 52 weeks; it is currently 22.42% below its 52-week high and 18.40% above its 52-week low.
The manufacturer of packaging products has a market cap of $8.72 billion and an enterprise value of $11 billion.
With 0.56% of outstanding shares, First Eagle Investment (Trades, Portfolio) is the company's largest guru shareholder, followed by Pioneer Investments (Trades, Portfolio) with 0.18%.
The earnings per share of Reliance Steel & Aluminum Co. (RS) have grown 16.80% per year over the last five years.
According to the DCF calculator, the stock is undervalued by 23% at $89.8 per share. The price-earnings ratio is 9.76. The share price has been as high as $94.97 and as low as $68.62 in the last 52 weeks; it is currently 5.45% below its 52-week high and 30.85% above its 52-week low.
The largest U.S. metal service center, has a market cap of $6.04 billion and an enterprise value of $8.29 billion.
The company's largest guru shareholder is Chuck Royce (Trades, Portfolio) with 1.22% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.59% and NWQ Managers (Trades, Portfolio) with 0.10%.
Disclosure: I do not own any stocks mentioned.
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