What is a Value Stock?
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.
Benzinga Insights has compiled a list of value stocks in the consumer cyclical sector that may be worth watching:
- Crocs (NASDAQ:CROX) - P/E: 8.86
- Victoria's Secret (NYSE:VSCO) - P/E: 9.07
- China Automotive Systems (NASDAQ:CAAS) - P/E: 3.54
- M.D.C. Holdings (NYSE:MDC) - P/E: 9.11
- Lithia Motors (NYSE:LAD) - P/E: 7.06
Most recently, Crocs reported earnings per share at $3.25, whereas in Q2 earnings per share sat at $3.59. This quarter, Victoria's Secret experienced a decrease in earnings per share, which was $0.28 in Q1 and is now $0.24. China Automotive Systems's earnings per share for Q3 sits at $0.31, whereas in Q2, they were at 0.35. This quarter, M.D.C. Holdings experienced an increase in earnings per share, which was $1.24 in Q2 and is now $1.4. Its most recent dividend yield is at 5.93%, which has increased by 1.2% from 4.73% in the previous quarter.
This quarter, Lithia Motors experienced a decrease in earnings per share, which was $10.91 in Q2 and is now $9.25. The company's most recent dividend yield sits at 0.8%, which has increased by 0.12% from 0.68% last quarter.
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.