What Defines a Value Stock?
A value stock traditionally has a lower price when compared to stock prices of companies in the same industry. This indicates that the company may be undervalued, as investors are not expressing as much interest in such companies. The most commonly used way to check for value is with the price-to-earnings multiple, or P/E. A low P/E multiple is a good indication that the stock is undervalued.
Benzinga Insights has compiled a list of value stocks in the utilities sector that may be worth watching:
- Pampa Energia PAM - P/E: 3.96
- Central Puerto CEPU - P/E: 7.57
- OGE Energy OGE - P/E: 8.32
- Genie Energy GNE - P/E: 3.58
- Kenon Hldgs KEN - P/E: 1.3
Pampa Energia's earnings per share for Q2 sits at $1.2, whereas in Q1, they were at 1.79. Central Puerto has reported Q2 earnings per share at $0.13, which has decreased by 56.67% compared to Q1, which was 0.3. This quarter, OGE Energy experienced a decrease in earnings per share, which was $1.39 in Q1 and is now $0.36. Its most recent dividend yield is at 4.25%, which has increased by 0.14% from 4.11% in the previous quarter.
Genie Energy saw an increase in earnings per share from 0.67 in Q1 to $1.3 now. Most recently, the company reported a dividend yield of 3.33%, which has decreased by 1.39% from last quarter's yield of 4.72%.
Most recently, Kenon Hldgs reported earnings per share at $4.92, whereas in Q1 earnings per share sat at $11.86.
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.
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