Understanding Value Stocks
A value stock is traditionally defined in terms of how investors in the marketplace are valuing that company's future growth prospects. Low P/E multiples are good base indicators that the company is undervalued and can most likely be labelled as a value stock.
Below is a list of notable value stocks in the basic materials sector:
- Koppers Hldgs (NYSE:KOP) - P/E: 6.3
- Reliance Steel & Aluminum (NYSE:RS) - P/E: 8.12
- Synalloy (NASDAQ:SYNL) - P/E: 7.6
- Olin (NYSE:OLN) - P/E: 6.77
- Methanex (NASDAQ:MEOH) - P/E: 9.0
Koppers Hldgs saw a decrease in earnings per share from 1.01 in Q3 to $0.77 now. Reliance Steel & Aluminum's earnings per share for Q4 sits at $6.83, whereas in Q3, they were at 6.15. Its most recent dividend yield is at 2.16%, which has increased by 0.36% from 1.8% in the previous quarter.
Synalloy's earnings per share for Q4 sits at $0.84, whereas in Q3, they were at 0.87. Most recently, the company reported a dividend yield of 1.51%, which has increased by 0.47% from last quarter's yield of 1.04%.
Olin saw an increase in earnings per share from 2.38 in Q3 to $2.41 now. The company's most recent dividend yield sits at 1.62%, which has increased by 0.17% from 1.45% last quarter.
This quarter, Methanex experienced an increase in earnings per share, which was $1.29 in Q3 and is now $2.43. Most recently, the company reported a dividend yield of 1.14%, which has increased by 0.02% from last quarter's yield of 1.12%.
These 5 value stocks were selected by Benzinga Insights based on quantified analysis. While this methodical judgment process is not meant to make final decisions, our technology can give investors additional perception into the sector.
