Stock Trading Ideas for Beginners – Low P/E, High ROI, and Low Debt

Looking for some possible undervalued, low debt stock investments? When I first learned how to trade in the stock market, I found that looking for companies with a good price to earning ratio, high return on investment, and low debt are usually things to start to look for in investments.

That’s not to say that is all you should look for, but it is a good way to get started in filtering out where you want to put your money. I’m not saying to just go out and buy them, you need to study them a little more, and understand you may lose money. The following list is just a starting point.

What I looked at to compile this list.

Stocks with Low PE – Less than 15

Price to earnings ratio, or P/E ratio, compares the price of a stock to its earnings per share or EPS: What is a low PE ratio? Generally, a stock with a low PE ratio of 15 is considered to be low. A good price earnings ratio shows that there may be more room to run, as so to speak.

Price earnings ratio formula

PE = Market Price of a Stock / Earnings Per Share

Stocks with High ROI – Over 25%

Return on investment or ROI measures the amount of return on a stock, compared to the cost of that stock. The higher a stock’s ROI is, the better. It means that equity is more efficient at making money. For this search, I looked for stocks with ROI over 25%, which is considered very high.

Here is how to calculate return on investment

ROI = (Gain from Stock – Cost of Stock) / Cost of Stock

Stocks with Low Debt/Equity Ratio – Less than .01

Debt/Equity (D/E) Ratio, is used to calculate a company’s financial leverage. The D/E ratio shows how much debt a company is using to finance its assets compared to the value of shareholders’ equity. A lower D/E ratio is considered better, for stock investors.

How to calculate debt to equity ratio

Debt/Equity Ratio = Total Liabilities / Shareholders’ Equity

So now that I’ve explained what I looked for to find these stocks, here is my list. As accurate as I have tried to be, make sure you due your own research before buying or selling any stock. This is not to be considered a recommendation on any of these equities. If you have any questions or comments, please leave them at the bottom of the article.

Ticker Company Industry P/E Price
ACNB ACNB Corporation Regional – Southwest Banks 14.51 34.2
AEIS Advanced Energy Industries, Inc. Diversified Electronics 10.97 59.34
BKU BankUnited, Inc. Regional – Mid-Atlantic Banks 6.85 40.46
BOTJ Bank of the James Financial Group, Inc. Regional – Mid-Atlantic Banks 14.67 15.72
BPT BP Prudhoe Bay Royalty Trust Oil & Gas Refining & Marketing 7.38 28.91
BVSN BroadVision, Inc. Internet Software & Services 0.15 2.2
CARV Carver Bancorp, Inc. Savings & Loans 4.96 5.77
CIFS China Internet Nationwide Financial Services Inc. Credit Services 13.07 14.97
CNCE Concert Pharmaceuticals, Inc. Biotechnology 3.77 16.43
CORT Corcept Therapeutics Incorporated Biotechnology 10.15 13.09
CRT Cross Timbers Royalty Trust Oil & Gas Drilling & Exploration 13.63 15.35
CSSE Chicken Soup for the Soul Entertainment, Inc. Broadcasting – TV 5.07 9.27
CUTR Cutera, Inc. Medical Appliances & Equipment 14.09 35.1
DGSE DGSE Companies, Inc. Jewelry Stores 2.96 0.7
DMLP Dorchester Minerals, L.P. Diversified Investments 14.94 18.88
ESIO Electro Scientific Industries, Inc. Semiconductor – Integrated Circuits 5.54 23.11
FII Federated Investors, Inc. Asset Management 6.42 22.34
FNJN Finjan Holdings, Inc. Application Software 3.91 3.68
FONR Fonar Corporation Medical Appliances & Equipment 11.32 26.86
FSBW FS Bancorp, Inc. Regional – Pacific Banks 14.32 60.1

Ticker Company Industry P/E Price
FWP Forward Pharma A/S Biotechnology 0.75 2.9
GLOW Glowpoint, Inc. Diversified Communication Services 1.38 0.19
GRVY Gravity Co., Ltd. Multimedia & Graphics Software 11.58 51.13
HGT Hugoton Royalty Trust Oil & Gas Drilling & Exploration 8.33 0.61
HK Halcon Resources Corporation Oil & Gas Drilling & Exploration 1 4.03
HX Hexindai Inc. Credit Services 6.31 8.26
INFI Infinity Pharmaceuticals, Inc. Biotechnology 3.15 2.18
ISNS Image Sensing Systems, Inc. Application Software 4.39 4.75
JNP Juniper Pharmaceuticals, Inc. Drugs – Generic 5.54 11.5
JRSH Jerash Holdings (US), Inc. Textile – Apparel Clothing 5.97 7.43
LYL Dragon Victory International Limited Credit Services 14.62 2.28
MARPS Marine Petroleum Trust Diversified Investments 10.6 4.1
MC Moelis & Company Asset Management 9.08 57.7
MN Manning & Napier, Inc. Asset Management 2.52 2.75
MSB Mesabi Trust Diversified Investments 10.17 28.3
MTR Mesa Royalty Trust Diversified Investments 9.81 14.44
MVO MV Oil Trust Independent Oil & Gas 11.83 10.25
NBLX Noble Midstream Partners LP Oil & Gas Pipelines 11.57 49.01
NBY NovaBay Pharmaceuticals, Inc. Biotechnology 4.74 2.16
NDRO Enduro Royalty Trust Independent Oil & Gas 2.57 3.5

Ticker Company Industry P/E Price
NHTC Natural Health Trends Corp. Personal Products 6.44 24.29
NRT North European Oil Royalty Trust Diversified Investments 10.82 8.12
OCLR Oclaro, Inc. Semiconductor Equipment & Materials 13.64 9.06
OPHT Ophthotech Corporation Biotechnology 0.45 2.42
PBT Permian Basin Royalty Trust Independent Oil & Gas 14.51 9.22
PDEX Pro-Dex, Inc. Medical Instruments & Supplies 13.38 6.72
PFIS Peoples Financial Services Corp. Regional – Northeast Banks 8.06 45.5
PVAC Penn Virginia Corporation Independent Oil & Gas 11.63 79.09
PZN Pzena Investment Management, Inc Asset Management 4.45 9.08
QTNA Quantenna Communications, Inc. Communication Equipment 12.68 16.14
RBCN Rubicon Technology, Inc. Semiconductor Equipment & Materials 1.21 8.34
SBFG SB Financial Group, Inc. Regional – Midwest Banks 14.41 19.98
SD SandRidge Energy, Inc. Oil & Gas Drilling & Exploration 2.81 16.57
SGB Southwest Georgia Financial Corporation Regional – Mid-Atlantic Banks 13.33 22.9
SJT San Juan Basin Royalty Trust Independent Oil & Gas 7.31 5.97
SMMF Summit Financial Group, Inc. Regional – Mid-Atlantic Banks 12.21 25.45
SPRT, Inc. Internet Software & Services 2.48 2.8
SYX Systemax Inc. Technical & System Software 14.83 35.71
UAVS AgEagle Aerial Systems, Inc. Computer Based Systems 0.42 1.74
VTSI VirTra, Inc. Multimedia & Graphics Software 9.7 4.87
XOMA XOMA Corporation Biotechnology 2.18 18.56
YRD Yirendai Ltd. Credit Services 5.03 13.95

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