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 basic materials sector:
- Valhi (NYSE:VHI) - P/E: 9.23
- Commercial Metals (NYSE:CMC) - P/E: 5.35
- Cementos Pacasmayo (NYSE:CPAC) - P/E: 10.0
- ArcelorMittal (NYSE:MT) - P/E: 1.88
- Warrior Met Coal (NYSE:HCC) - P/E: 5.91
Valhi saw a decrease in earnings per share from 1.83 in Q4 to $1.59 now. Most recently, the company reported a dividend yield of 0.69%, which has decreased by 0.58% from last quarter's yield of 1.27%.
Commercial Metals saw a decrease in earnings per share from 1.62 in Q1 to $1.53 now. Most recently, the company reported a dividend yield of 1.36%, which has decreased by 0.14% from last quarter's yield of 1.5%.
This quarter, Cementos Pacasmayo experienced an increase in earnings per share, which was $0.09 in Q4 and is now $0.15. Its most recent dividend yield is at 13.13%, which has increased by 9.05% from 4.08% in the previous quarter.
ArcelorMittal saw an increase in earnings per share from 3.7 in Q4 to $4.27 now. Its most recent dividend yield is at 1.28%, which has increased by 0.51% from 0.77% in the previous quarter.
Warrior Met Coal's earnings per share for Q1 sits at $2.97, whereas in Q4, they were at 3.17.
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.