11 Best Stocks For Value Investors This Week – 3/4/17

As for a valuation, the company appears to be Fairly Valued after growing its EPSmg (normalized earnings) from $2.14 in 2013 to an estimated $3.14 for 2017. This level of demonstrated earnings growth supports the market’s implied estimate of 7.62% annual earnings growth over the next 7-10 years. As a result, the ModernGraham valuation model, based on Benjamin Graham’s formula, returns an estimate of intrinsic value within a margin of safety relative to the price.

At the time of valuation, further research into Comerica Incorporated revealed the company was trading above its Graham Number of $61.17. The company pays a dividend of $0.89 per share, for a yield of 1.2% Its PEmg (price over earnings per share – ModernGraham) was 23.75, which was above the industry average of 21.43.  (See the full valuation)

CSG Systems International Inc 

CSG Systems International, Inc.(CSGS) is suitable for the Enterprising Investor but not the more conservative Defensive Investor. The Defensive Investor is concerned with the small size, poor dividend history, and the high PEmg and PB ratios. The Enterprising Investor has no initial concerns. As a result, all Enterprising Investors following the ModernGraham approach should feel comfortable proceeding with the analysis.

As for a valuation, the company appears to be Fairly Valued after growing its EPSmg (normalized earnings) from $1.29 in 2013 to an estimated $1.91 for 2017. This level of demonstrated earnings growth supports the market’s implied estimate of 6.23% annual earnings growth over the next 7-10 years. As a result, the ModernGraham valuation model, based on the Benjamin Graham value investing formula, returns an estimate of intrinsic value within a margin of safety relative to the price.

At the time of valuation, further research into CSG Systems International, Inc. revealed the company was trading above its Graham Number of $20.47. The company pays a dividend of $0.74 per share, for a yield of 1.8% Its PEmg (price over earnings per share – ModernGraham) was 20.95, which was below the industry average of 38.13, which by some methods of valuation makes it one of the most undervalued stocks in its industry. Finally, the company was trading above its Net Current Asset Value (NCAV) of $-2.45.  (See the full valuation)

Sterling Bancorp

Sterling Bancorp (STL) is suitable for the Enterprising Investor but not the more conservative Defensive Investor. The Defensive Investor is concerned with the high PEmg ratio. The Enterprising Investor has no initial concerns. As a result, all Enterprising Investors following the ModernGraham approach should feel comfortable proceeding with the analysis.

As for a valuation, the company appears to be Fairly Valued after growing its EPSmg (normalized earnings) from $0.51 in 2013 to an estimated $0.93 for 2017. This level of demonstrated earnings growth supports the market’s implied estimate of 9.09% annual earnings growth over the next 7-10 years. As a result, the ModernGraham valuation model, based on Benjamin Graham’s formula, returns an estimate of intrinsic value within a margin of safety relative to the price.

At the time of valuation, further research into Sterling Bancorp revealed the company was trading above its Graham Number of $20.19. The company pays a dividend of $0.28 per share, for a yield of 1.1% Its PEmg (price over earnings per share – ModernGraham) was 26.69, which was above the industry average of 21.43.  (See the full valuation)

 

1 2 3 4
View single page >> |

Disclaimer: The author did not hold a position in any company mentioned in this article at the time of publication and had no intention of changing that position within the next 72 ...

more
How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.