5 Value Stocks In The Real Estate Sector
What is a Value Stock?
A value stock is traditionally defined in terms of how investors in the marketplace are valuing that company's future growth prospects. Low P/E multiples are good base indicators that the company is undervalued and can most likely be labelled as a value stock.
Benzinga Insights has compiled a list of value stocks in the real estate sector that may be worth watching:
- RMR Gr (NASDAQ:RMR) - P/E: 7.47
- Seven Hills Realty Trust (NASDAQ:SEVN) - P/E: 6.71
- Corporacion Inmobiliaria (NYSE:VTMX) - P/E: 9.48
- Comstock Holding Co (NASDAQ:CHCI) - P/E: 6.74
- Chimera Investment (NYSE:CIM) - P/E: 9.34
This quarter, RMR Gr experienced an increase in earnings per share, which was $0.48 in Q4 and is now $0.49. The company's most recent dividend yield sits at 5.84%, which has decreased by 0.79% from 6.63% last quarter.
Seven Hills Realty Trust saw a decrease in earnings per share from 0.37 in Q2 to $0.36 now. The company's most recent dividend yield sits at 10.27%, which has decreased by 2.85% from 13.12% last quarter.
Corporacion Inmobiliaria saw a decrease in earnings per share from 0.01 in Q2 to $0.0 now. Comstock Holding Co's earnings per share for Q3 sits at $0.46, whereas in Q2, they were at 0.05. Chimera Investment saw an increase in earnings per share from 0.12 in Q2 to $0.13 now. Its most recent dividend yield is at 8.98%, which has decreased by 2.63% from 11.61% in the previous 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.