52-Week Company Lows

DuPont de Nemours, Exelon, Occidental Petroleum, Ventas, Plains All American Pipeline and CenterPoint Energy present buying opportunities

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Dec 01, 2019
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According to GuruFocus, these stocks have reached their 52-week lows.

DuPont de Nemours

The price of DuPont de Nemours Inc. (DD, Financial) shares has declined to close to the 52-week low of $64.81, which is 26.6% off the 52-week high of $85.66. The company has a market cap of $48.01 billion.

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The shares traded with a price-earnings ratio of 61.55 and a price-sales ratio of 0.50 as of Nov. 29. The trailing 12-month dividend yield is 3.33%. The forward dividend yield is 1.85%. The company had an annual average earnings growth of 2.10% over the past 10 years.

DowDuPont is a diversified global chemicals and materials company that was formed from the merger of Dow Chemical and DuPont. Its portfolio includes basic chemicals, agriculture, automotive, electronics and communication, construction, health care and safety and protection. The company also sells genetically modified seeds, making it one of the most prominent global seed providers. By the end of 2019, DowDuPont plans to split into three separate companies--one company each in agriculture, material sciences and specialty products.

Net income for the third quarter of 2019 was $377 million, compared to $539 million for the prior-year period.

Exelon

The price of Exelon Corp. (EXC, Financial) shares has declined to close to the 52-week low of $44.40, which is 15.8% off the 52-week high of $51.18. The company has a market cap of $43.16 billion.

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Its shares traded with a price-earnings ratio of 18.72 and a price-sales ratio of 1.24 as of Nov. 29. The trailing 12-month dividend yield is 3.27%. The forward dividend yield is 3.27%. The company had an annual average earnings growth of 3.90% over the past five years.

Since acquiring Pepco in 2016, Exelon serves more customers than any other U.S. utility, with 10 million power and gas customers at its six regulated utilities in Illinois, Pennsylvania, Maryland, New Jersey, Delaware and Washington, D.C. Exelon owns 11 nuclear plants and 33 gigawatts of generation capacity throughout North America, producing 20% of U.S. nuclear power and 5% of all U.S. electricity. The company is the largest power retailer in the U.S., serving about 200 terawatt-hours of load.

Net income for the third quarter of 2019 was $760 million compared to $800 million for the prior-year quarter.

Occidental Petroleum

The price of Occidental Petroleum Corp. (OXY, Financial) shares has declined to close to the 52-week low of $38.57, which is 48.1% off the 52-week high of $72.43. The company has a market cap of $34.46 billion.

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Its shares traded with a price-earnings ratio of 28.24 and a price-sales ratio of 1.59 as of Nov. 29. The trailing 12-month dividend yield is 8.12%. The forward dividend yield is 8.19%.

Occidental Petroleum is an independent exploration and production company with operations in the U.S., Latin America and the Middle East. At the end of 2017, the company reported net proven reserves of 2.6 billion barrels of oil equivalent. Net production averaged 601,000 barrels of oil equivalent per day in 2017, at a ratio of 25% oil and NGLs and 25% natural gas.

Net loss for the three months ended Sept. 30 was $752 million compared to net income of $1.87 billion for the prior-year period.

Director Bob Shearer bought 5,000 shares on Nov. 26 at a price of $38.96. The share price has declined 1% since then.

Director William R. Klesse bought 12,000 shares on Nov. 8 at a price of $39.31 and 6,000 shares on Nov. 19 at a price of $38.09. The price of the stock has increased by 1.26% since then.

Ventas

The price of Ventas Inc. (VTR, Financial) shares has declined to close to the 52-week low of $58.31, which is 25% off the 52-week high of $75.40. The company has a market cap of $21.73 billion.

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The shares traded with a price-earnings ratio of 44.04 and a price-sales ratio of 5.63 as of Nov. 29. The trailing 12-month dividend yield is 5.44%. The forward dividend yield is 5.44%. The company had an annual average earnings growth of 4.40% over the past 10 years. GuruFocus rated Ventas’ business predictability at 3.5 stars.

The real estate investment trust owns interests in roughly 1,300 health care properties, including senior housing communities, skilled nursing facilities, medical office buildings, life science buildings and hospitals. These properties are located throughout the U.S. and Canada. The company also makes debt investments through mortgages and other loans.

Third-quarter net income was $86.92 million, down from $103.28 million for the prior-year quarter.

Plains All American Pipeline

The price of Plains All American Pipeline LP (PAA, Financial) shares has declined to close to the 52-week low of $17.40, which is 33.6% off the 52-week high of $25.27. The company has a market cap of $12.67 billion.

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Its shares traded with a price-earnings ratio of 4.74 and a price-sales ratio of 0.44 as of Nov. 29. The trailing 12-month dividend yield is 7.93%. The forward dividend yield is 8.28%.

Plains All American provides transportation, storage, processing, fractionation and marketing services for crude oil, refined products, natural gas liquids, liquefied petroleum gas and related products. Assets are geographically diverse, spanning the United States and Alberta, Canada, but are heavily concentrated in major U.S. shale basins like the Permian, Stack and Bakken.

Third- quarter net income was $449 million for 2019 compared to $710 million for 2018.

CenterPoint Energy

The price of CenterPoint Energy Inc. (CNP, Financial) shares has declined to close to the 52-week low of $24.56, which is 22.8% off the 52-week high of $31.42. The company has a market cap of $12.34 billion.

Its shares traded with a price-earnings ratio of 19.48 and a price-sales ratio of 1.02 as of Nov. 29. The trailing 12-month dividend yield is 4.68%. The forward dividend yield is 4.68%. The company had an annual average earnings growth of 5.30% over the past five years.

CenterPoint Energy owns a portfolio of energy-related businesses. Its regulated electric utility provides transmission and distribution services to Houston and the surrounding area. The company has natural gas distribution systems in six states. CenterPoint owns approximately 54% of Enable Midstream Partners, a partnership consisting of natural gas processing and storage facilities and more than 21,000 miles of interstate, intrastate and gathering pipelines in the midcontinent region.

Net income for the third quarter was $270 million, up from $158 million in the prior-year quarter.

President and CEO Scott M. Prochazka sold 7,000 shares on Nov. 1 at a price of $29.02. The stock has tumbled 15.37% since then.

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Disclosure: I do not own stock in any of the companies mentioned in the article.