What are Value Stocks?
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.
Below is a list of notable value stocks in the energy sector:
- Dynagas LNG Partners DLNG - P/E: 6.35
- Smart Sand SND - P/E: 3.24
- Navios Maritime NNA - P/E: 1.47
- GasLog Partners GLOP - P/E: 6.29
- CrossAmerica Partners CAPL - P/E: 6.74
Dynagas LNG Partners saw an increase in earnings per share from 0.21 in Q3 to 0.22 now. Its most recent dividend yield is at 11.0%, which has increased by 4.95% from 6.05% in the previous quarter.
Most recently, Smart Sand reported earnings per share at -0.07, whereas in Q3 earnings per share sat at -0.09. Smart Sand does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.
Most recently, Navios Maritime reported earnings per share at -0.23, whereas in Q2 earnings per share sat at 2.01. The company's most recent dividend yield sits at 4.36%, which has decreased by 22.07% from 26.43% last quarter.
Most recently, GasLog Partners reported earnings per share at 0.38, whereas in Q3 earnings per share sat at 0.11. Most recently, the company reported a dividend yield of 1.22%, which has decreased by 0.07% from last quarter's yield of 1.29%.
This quarter, CrossAmerica Partners experienced a decrease in earnings per share, which was 0.56 in Q3 and is now 0.24. The company's most recent dividend yield sits at 11.99%, which has decreased by 1.78% from 13.77% last quarter.
The Significance: A value stock may need some time to rebound from its undervalued position. The risk of investing in a value stock is that this emergence may never materialize.
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