5 Guru Stocks Trading Below Peter Lynch Value

Amtech Systems tops the list

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Dec 10, 2019
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Several gurus are focusing on stocks whose Peter Lynch fair values are above their current prices, according to the GuruFocus All-in-One Screener. As of Tuesday, the following companies are trading with wide margins of safety and have had positive performances over the last 12 months.

Amtech Systems Inc. (ASYS, Financial) is trading around $6.24 per share. The Peter Lynch value gives the stock a fair price of $10.6, which suggests it is undervalued with a 92% margin of safety. Over the past three months, the stock has registered a positive performance of 17.67%.

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The company, which provides solar and semiconductor production and automation systems, has a market cap of $86.47 million and an enterprise value of $39.04 million.

The stock is trading with a forward price-earnings ratio of 43.29, which is lower than 88% of companies in the semiconductors industry. The share price is currently 15.60% below its 52-week high and 50.37% above its 52-week low. The price-book ratio is 1.01.

The company's largest guru shareholder is Chuck Royce (Trades, Portfolio) with 5.55% of outstanding shares.

SORL Auto Parts Inc. (SORL, Financial) is trading around $4.4 per share. The Peter Lynch value gives the stock a fair price of $28.47, which suggests it is undervalued with an 85% margin of safety. The stock registered a positive three-month performance of 34.97%.

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The company, which provides automotive brake systems, has a market cap of $84.94 million and an enterprise value of $327.87 million.

The stock is trading with a price-earnings ratio of 3.87, which is higher than 96% of companies in the vehicles and parts industry. The share price is currently 0.90% below its 52-week high and 148.59% above its 52-week low. The price-book ratio is 0.45.

Mario Gabelli (Trades, Portfolio) is the company's largest guru shareholder with 0.49% of outstanding shares.

Asta Funding Inc. (ASFI, Financial) is trading around $10.36 per share. The Peter Lynch value gives the stock a fair price of $11.94, which suggests it is undervalued with a 13% margin of safety. Over the past three months, the stock has risen 47.47%.

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The company has a market cap of $68.05 million and an enterprise value of $14.87 million.

The stock is trading with a price-earnings ratio of 7.55, which is higher than 66% of companies in the credit services industry. The share price is currently 0.77% below its 52-week high and 186.98% above its 52-week low. The price-book ratio is 0.77.

The company's largest guru shareholder is Jim Simons (Trades, Portfolio)’ Renaissance Technologies with 0.32% of outstanding shares.

Psychemedics Corp. (PMD, Financial) is trading around $9 per share. The Peter Lynch value gives the stock a fair price of $11.98, which suggests it is undervalued with a 25% margin of safety. Over the past three months, the stock has registered a positive performance of 11.21%.

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The company, which provides services for the detection of drugs of abuse, has a market cap of $49.38 million and an enterprise value of $47.74 million.

The stock is trading with a price-earnings ratio of 16.89, which is higher than 80% of companies in the medical diagnostics and research industry. The share price is currently 54.43% below its 52-week high and 25.70% above its 52-week low. The price-book ratio is 2.73.

Simons’ firm is the company's largest guru shareholder with 8.20% of outstanding shares, followed by Royce with 0.68%.

O2Micro International Ltd. (OIIM, Financial) is trading around $1.74 per share. The Peter Lynch value gives the stock a fair price of $5.85, which suggests it is undervalued with a 70% margin of safety. Over the past three months, the stock has risen 33.54%.

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The provider of various mixed-signal chips has a market cap of $45.81 million and an enterprise value of $10.28 million.

The stock is trading with a price-book ratio of 0.63, which is higher than 87% of companies in the hardware industry. The share price is currently 11.88% below its 52-week high and 49.66% above its 52-week low.

The company's largest guru shareholder is Simons’ firm with 7.57% of outstanding shares.

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

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