What is the definition of a value stock?
A value stock is generally characterized by how investors value a company’s future growth possibilities in the marketplace. Low P/E multiples are an excellent starting point for determining whether a firm is cheap and, thus, should be classified as a value stock.
Benzinga Insights has developed a list of energy-related value stocks to keep an eye on:
Petrobras Brasileiro is a Brazilian oil company (NYSE:PBR) – Frontline P/E: 7.28 (NYSE:FRO) – Western Midstream P/E: 6.47 (NYSE:WES) – DHT Holdings’ P/E ratio is 9.78. (NYSE:DHT) – P/E ratio: 5.23
Camber Energy is a company based in Camber (AMEX:CEI) – 0.04 P/E
Petrobras Brasileiro recorded 0.01 earnings per share in the first quarter, up 101.43 percent over the previous quarter’s -0.7. The company just announced a dividend yield of 13.66 percent, up 9.56 percent from the previous quarter’s payout of 4.1 percent.
Frontline just reported profits per share of 0.04, down from -0.1 in the previous quarter. The company just announced a dividend yield of 15.82 percent, up 14.5 percent from the previous quarter’s payout of 1.32 percent.
Western Midstream’s profits per share fell from 0.62 in the previous quarter to 0.44 this quarter. The company just declared a dividend yield of 6.6 percent, down 0.92 percent from the previous quarter’s payout of 7.52 percent.
DHT Holdings’ earnings per share increased this quarter, from 0.04 in the previous quarter to 0.07. The company just disclosed a dividend yield of 2.61 percent, down 0.74 percent from the previous quarter’s payout of 3.35 percent.
Camber Energy reported -0.19 earnings per share in the second quarter, up 56.82 percent from -0.44 in the first quarter. Camber Energy does not pay a dividend, which is something to keep in mind if you’re thinking about holding on to a company like this.
Benzinga Insights chose these five value stocks based on quantitative analysis. While this thorough judgment procedure is not intended to make final choices, it can provide investors with extra insight into the sector./n
