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.
The following stocks are considered to be notable value stocks in the consumer defensive sector:
- Skillsoft (NYSE:SKIL) - P/E: 1.6
- Newell Brands (NASDAQ:NWL) - P/E: 9.73
- The Real Good Food (NASDAQ:RGF) - P/E: 9.05
- Ingles Markets (NASDAQ:IMKTA) - P/E: 6.77
- Post Hldgs (NYSE:POST) - P/E: 7.68
Most recently, Skillsoft reported earnings per share at $-0.19, whereas in Q2 earnings per share sat at $0.09. Newell Brands saw a decrease in earnings per share from 0.57 in Q2 to $0.53 now. Its most recent dividend yield is at 6.52%, which has increased by 1.89% from 4.63% in the previous quarter.
Most recently, The Real Good Food reported earnings per share at $-0.51, whereas in Q2 earnings per share sat at $-0.43. Ingles Markets saw an increase in earnings per share from 3.57 in Q3 to $3.69 now. The company's most recent dividend yield sits at 0.67%, which has decreased by 0.14% from 0.81% last quarter.
Post Hldgs has reported Q4 earnings per share at $0.85, which has increased by 23.19% compared to Q3, which was 0.69. Most recently, the company reported a dividend yield of 6.43%, which has increased by 0.76% from last quarter's yield of 5.67%.
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.