5 Bargain Stocks Boosting Book Value

2 banks on the list

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Sep 03, 2019
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According to the GuruFocus All-In-One Screener, the following companies have grown their book value per share over the past decade.

Book value per share 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 book value per share may not reflect the company’s true value, some investors check the tangible book value to confirm their investment ideas.

The book value per share of Bank OZK (OZK) has grown 7.30% over the last 10 years. The price-book ratio is 0.83 and the price-tangible book value is 3.30.

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The bank has a $3.35 billion market cap.

According to the discounted cash flow calculator, the stock is undervalued with a 71.63% margin of safety at $25.8. The share price has been as high as $40.83 and as low as $21.02 in the last 52 weeks. As of Monday, the stock was trading 36.98% below its 52-week high and 22.41% above its 52-week low. The price-earnings ratio is 8.18.

Diamond Hill Capital (Trades, Portfolio) is the company's largest guru shareholder with 4.87% of outstanding shares, followed by Jim Simons' (Trades, Portfolio) Renaissance Technologies with 0.58% and Lee Ainslie (Trades, Portfolio)’s Maverick Capital with 0.20%.

Texas Capital Bancshares Inc. (TCBI)'s book value per share has grown 5.90% over the past decade. The price-book ratio is 1.07 and the price-tangible book value are both 1.41.

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The bank has a market cap of $2.73 billion and an enterprise value of $2.52 billion

According to the DCF calculator, the stock is undervalued with a 69% margin of safety at $53.94 The share price has been as high as $92.35 and as low as $12.81 in the last 52 weeks. As of Monday, the stock was trading 41.54% below its 52-week high and 12.81% above its 52-week low. The price-earnings ratio is 8.86.

With 4.96% of outstanding shares, Barrow, Hanley, Mewhinney & Strauss is the company's largest guru shareholder, followed by NWQ Managers (Trades, Portfolio) with 2.19% and Ken Fisher (Trades, Portfolio) with 1.0%

The book value per share of Nelnet Inc. (NNI) has grown 16.40% over the last 10 years. The price-book ratio is 1.15, and the price to tangible book value is 1.30.

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The provider of student loan services has a market cap of $2.66 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 1.31% margin of safety at $67. The share price has been as high as $68.51 and as low as $47.59 in the last 52 weeks. As of Monday, the stock was trading 2.57% below its 52-week high and 40.26% above its 52-week low. The price-earnings ratio is 20.83.

With 0.27% of outstanding shares, the Simons’ firm is the company's largest guru shareholder, followed by Pioneer Investments (Trades, Portfolio) with 0.08% and John Hussman (Trades, Portfolio) with 0.05%.

GATX Corp. (GATX)'s book value per share has grown 7.40% over the past decade. The price-book ratio is 1.49 and the price to tangible book value are both 1.55.

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The company, which provides railcar leasing and maintenance services, has a market cap of $2.64 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 35.59% margin of safety at $74. The share price has been as high as $89.94 and as low as $67.46 in the last 52 weeks. As of Monday, the stock was trading 18.22% below its 52-week high and 9.03% above its 52-week low. The price-earnings ratio is 13.42.

Mario Gabelli (Trades, Portfolio)’s GAMCO Investors is the company's largest guru shareholder with 5.92% of outstanding shares, followed by the Simons’ firm with 0.11% and Pioneer Investments (Trades, Portfolio) with 0.01%.

The book value per share of Ryder System Inc. (R) has grown 8.60% over the last 10 years. The price-book ratio is 1.02 and the price to tangible book value is 1.25.

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The company, which operates in the Consulting and Outsourcing industry, has a market cap of $2.60 billion.

According to the DCF calculator, the stock is undervalued and is trading with a 53.86% margin of safety at $48.39. The share price has been as high as $79.95 and as low as $7.91 in the last 52 weeks. As of Monday, the stock was trading 39.53% below its 52-week high and 7.91% above its 52-week low. The price-earnings ratio is 8.07.

With 4.39% of outstanding shares, Richard Pzena (Trades, Portfolio)’s Pzena Investment Management is the company's largest guru shareholder, followed by First Pacific Advisors (Trades, Portfolio) with 0.19% and FPA Capital Fund (Trades, Portfolio) with 0.18%.

Disclosure: I do not own any stocks mentioned.

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