The Meaning Behind 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.
The following stocks are considered to be notable value stocks in the consumer cyclical sector:
- Sportsman’s Warehouse (NASDAQ:SPWH) – P/E: 4.42
- MasterCraft Boat Hldgs (NASDAQ:MCFT) – P/E: 7.15
- Kirkland’s (NASDAQ:KIRK) – P/E: 4.01
- Goodyear Tire & Rubber (NASDAQ:GT) – P/E: 3.88
- LL Flooring Holdings (NYSE:LL) – P/E: 8.45
Sportsman’s Warehouse’s earnings per share for Q1 sits at $0.05, whereas in Q4, they were at 0.49. MasterCraft Boat Hldgs saw an increase in earnings per share from 0.91 in Q2 to $1.21 now. This quarter, Kirkland’s experienced a decrease in earnings per share, which was $0.84 in Q4 and is now $-0.62. This quarter, Goodyear Tire & Rubber experienced a decrease in earnings per share, which was $0.57 in Q4 and is now $0.37. The company’s most recent dividend yield sits at 4.27%, which has decreased by 0.52% from 4.79% last quarter.
Most recently, LL Flooring Holdings reported earnings per share at $0.13, whereas in Q4 earnings per share sat at $0.35.
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.
