Undervalued Stocks – 55 Equities That Deserve Your Attention

Many value investors look for stocks that might increase in value. One way that I look for undervalued stocks is to for companies that meet the following criteria :

  • Return on Assets – ROA -Over 10%
  • Return on Equity – ROE -Over 10%
  • Return on Investment – ROI – Over 10%
  • Low Debt / Equity D/E – Less than .1

undervalued stocks

What is Return on Assets ROA

Return on Assets is a measurement on how a company uses its resources effectively. The higher the percentage, the more efficiently it is uses those assets on its balance sheet.

To calculate Return on Assets, you take the net income and divide it by the total assets of the company.

ROA = NET INCOME / TOTAL ASSETS

What is Return on Equity ROE

Return on Equity is shows how much money a company is able to make with each dollar of its shareholders equity. The higher the percentage, the better. Sometimes you will see it referred to as “return on net worth.”

ROE = NET INCOME / SHAREHOLDERS EQUITY

What is Return on Investment ROI

Return on Investment is used to determine how efficient the stock is. Again, the higher the better. It measures the proceeds that are obtained from selling the stock.

ROI = GAIN FROM STOCK – COST OF STOCK / COST OF STOCK

What is Debt / Equity – D/E

Debt / Equity Ration is a way to see how effective a company is using its debt. For this ratio, you want a LOW number. A lower number means it has lower debt, and thus a lower chance of going bankrupt.

D/E = TOTAL LIABILITIES / STOCKHOLDERS EQUITY

List of Stocks That I Feel May Be Undervalued

So when I put this all together, I come up with the following list. I wanted to find the most undervalued stocks right now, as of today, August 3rd 2018. Don’t take this list as a recommendation to buy or sell any of the below stocks, because the stock market is risky, and it is up to you to decide for yourself, if you can handle the risk. You may make or lose money.

Ticker Company Sector Industry Market Cap P/E Price
AB AllianceBernstein Holding L.P. Financial Asset Management 2.75B 10.86 27.55
AEIS Advanced Energy Industries, Inc. Technology Diversified Electronics 2.38B 10.85 60.25
AMAT Applied Materials, Inc. Technology Semiconductor Equipment & Materials 49.51B 12.07 48.44
BKE The Buckle, Inc. Services Apparel Stores 1.25B 12.68 24.35
BNSO Bonso Electronics International Inc. Industrial Goods Industrial Electrical Equipment 15.01M 7.19 3.25
CHKR Chesapeake Granite Wash Trust Basic Materials Independent Oil & Gas 74.80M 5.42 1.62
CIFS China Internet Nationwide Financial Services Inc. Financial Credit Services 325.55M 12.52 14.44
CORT Corcept Therapeutics Incorporated Healthcare Biotechnology 1.58B 9.78 13.55
CRT Cross Timbers Royalty Trust Basic Materials Oil & Gas Drilling & Exploration 89.90M 13.3 14.86
CRUS Cirrus Logic, Inc. Technology Semiconductor – Specialized 2.48B 11.95 41.18
CSSE Chicken Soup for the Soul Entertainment, Inc. Services Broadcasting – TV 123.58M 5.76 10.35
DAIO Data I/O Corporation Technology Diversified Electronics 49.37M 10.6 5.18
DHIL Diamond Hill Investment Group, Inc. Financial Asset Management 681.17M 12.37 191.9
DMLP Dorchester Minerals, L.P. Financial Diversified Investments 624.50M 14.9 18.4
ECT ECA Marcellus Trust I Basic Materials Oil & Gas Drilling & Exploration 33.39M 6.19 1.88
ESIO Electro Scientific Industries, Inc. Technology Semiconductor – Integrated Circuits 736.14M 6.6 21.84
FII Federated Investors, Inc. Financial Asset Management 2.31B 6.14 22.88
FNJN Finjan Holdings, Inc. Technology Application Software 113.43M 4.11 3.88
FONR Fonar Corporation Healthcare Medical Appliances & Equipment 185.42M 11.25 26.65
FWP Forward Pharma A/S Healthcare Biotechnology 127.87M 0.74 2.74



Ticker Company Sector Industry Market Cap P/E Price
GNTX Gentex Corporation Consumer Goods Auto Parts 6.34B 13.54 23.16
GRVY Gravity Co., Ltd. Technology Multimedia & Graphics Software 228.09M 12.78 51.21
HGT Hugoton Royalty Trust Basic Materials Oil & Gas Drilling & Exploration 26.57M 8.27 0.65
HK Halcon Resources Corporation Basic Materials Oil & Gas Drilling & Exploration 636.85M 1.08 4.14
ISNS Image Sensing Systems, Inc. Technology Application Software 22.47M 4.33 4.2
JCTCF Jewett-Cameron Trading Company Ltd. Industrial Goods Lumber, Wood Production 35.77M 12.06 7.85
JP Jupai Holdings Limited Financial Asset Management 551.93M 8.91 16.07
JRSH Jerash Holdings (US), Inc. Consumer Goods Textile – Apparel Clothing 69.71M 5.57 6.2
MARPS Marine Petroleum Trust Financial Diversified Investments 7.87M 10.05 3.98
MNDO MIND C.T.I. Ltd Technology Information Technology Services 40.05M 7.03 2.13
MSB Mesabi Trust Financial Diversified Investments 380.08M 10.1 28.2
MTR Mesa Royalty Trust Financial Diversified Investments 27.03M 10 14.35
MVO MV Oil Trust Basic Materials Independent Oil & Gas 121.20M 12.32 9.9
NBLX Noble Midstream Partners LP Basic Materials Oil & Gas Pipelines 2.17B 12.71 54.49
NDRO Enduro Royalty Trust Basic Materials Independent Oil & Gas 115.50M 2.43 3.34
NHTC Natural Health Trends Corp. Consumer Goods Personal Products 279.34M 6.2 24.17
OCLR Oclaro, Inc. Technology Semiconductor Equipment & Materials 1.49B 13.21 8.75
PDEX Pro-Dex, Inc. Healthcare Medical Instruments & Supplies 27.19M 12.55 6.2
PER SandRidge Permian Trust Basic Materials Independent Oil & Gas 146.94M 6.36 2.9
QBAK Qualstar Corporation Technology Diversified Electronics 16.80M 13.55 7.62



Ticker Company Sector Industry Market Cap P/E Price
QTNA Quantenna Communications, Inc. Technology Communication Equipment 583.44M 12.62 15.64
SAFM Sanderson Farms, Inc. Consumer Goods Food – Major Diversified 2.21B 9.31 100.9
SDR SandRidge Mississippian Trust II Basic Materials Independent Oil & Gas 82.68M 6.06 1.49
SDT SandRidge Mississippian Trust I Basic Materials Independent Oil & Gas 50.53M 8.3 1.7
SEAC SeaChange International, Inc. Technology Application Software 113.30M 6.82 3.14
SHI Sinopec Shanghai Petrochemical Company Limited Basic Materials Oil & Gas Refining & Marketing 7.92B 7.32 60.38
SJT San Juan Basin Royalty Trust Basic Materials Independent Oil & Gas 279.99M 7.34 5.86
SWN Southwestern Energy Company Basic Materials Independent Oil & Gas 3.05B 3.46 5.06
THO Thor Industries, Inc. Consumer Goods Recreational Vehicles 4.82B 10.3 94.51
TUSK Mammoth Energy Services, Inc. Basic Materials Oil & Gas Drilling & Exploration 1.68B 11.36 37.92
UTHR United Therapeutics Corporation Healthcare Biotechnology 5.42B 9.76 125.61
VLP Valero Energy Partners LP Basic Materials Oil & Gas Pipelines 2.78B 12.41 38.09
VOC VOC Energy Trust Basic Materials Independent Oil & Gas 105.46M 10.46 5.49
VTSI VirTra, Inc. Technology Multimedia & Graphics Software 38.76M 9.84 4.84
YRD Yirendai Ltd. Financial Credit Services 1.06B 5.18 16.43

What Do You Think?

Do you have any tips on how to find undervalued stocks? What do you think of this list? Let me know, in the comments below!

James

I live in Pittsburgh PA with my family. I am 50% WWE Wrestlemaniac, 50% Walt Disney World nut.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.