Understanding Value Stocks
A value stock traditionally has a lower price when compared to stock prices of companies in the same industry. This indicates that the company may be undervalued, as investors are not expressing as much interest in such companies. The most commonly used way to check for value is with the price-to-earnings multiple, or P/E. A low P/E multiple is a good indication that the stock is undervalued.
Below is a list of notable value stocks in the real estate sector:
- AFC Gamma (NASDAQ:AFCG) - P/E: 8.11
- LXP Industrial Trust (NYSE:LXP) - P/E: 8.87
- Two Harbors Investment (NYSE:TWO) - P/E: 7.76
- Ready Capital (NYSE:RC) - P/E: 5.37
- Dynex Cap (NYSE:DX) - P/E: 3.5
AFC Gamma has reported Q2 earnings per share at $0.69, which has increased by 11.29% compared to Q1, which was 0.62. Most recently, the company reported a dividend yield of 12.9%, which has decreased by 1.18% from last quarter's yield of 14.08%.
Most recently, LXP Industrial Trust reported earnings per share at $0.17, whereas in Q1 earnings per share sat at $0.16. Its most recent dividend yield is at 4.92%, which has increased by 0.23% from 4.69% in the previous quarter.
Most recently, Two Harbors Investment reported earnings per share at $0.22, whereas in Q1 earnings per share sat at $0.18. The company's most recent dividend yield sits at 14.72%, which has increased by 2.08% from 12.64% last quarter.
This quarter, Ready Capital experienced a decrease in earnings per share, which was $0.48 in Q1 and is now $0.46. Its most recent dividend yield is at 12.67%, which has decreased by 1.53% from 14.2% in the previous quarter.
Dynex Cap has reported Q2 earnings per share at $0.4, which has decreased by 9.09% compared to Q1, which was 0.44. Most recently, the company reported a dividend yield of 10.05%, which has increased by 0.56% from last quarter's yield of 9.49%.
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.