Overview Of Value Stocks In The Basic Materials Sector
Understanding 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 basic materials sector:
- Arch Resources (NYSE:ARCH) - P/E: 4.25
- Origin Mat (NASDAQ:ORGN) - P/E: 2.01
- Commercial Metals (NYSE:CMC) - P/E: 6.66
- Alpha Metallurgical (NYSE:AMR) - P/E: 7.14
- Boise Cascade (NYSE:BCC) - P/E: 9.84
Arch Resources saw a decrease in earnings per share from 4.04 in Q2 to $3.91 now. Origin Mat's earnings per share for Q3 sits at $0.22, whereas in Q2, they were at -0.05. This quarter, Commercial Metals experienced a decrease in earnings per share, which was $2.02 in Q3 and is now $1.69. The company's most recent dividend yield sits at 1.31%, which has decreased by 0.02% from 1.33% last quarter.
Alpha Metallurgical saw a decrease in earnings per share from 12.16 in Q2 to $6.65 now. Most recently, the company reported a dividend yield of 1.15%, which has decreased by 0.27% from last quarter's yield of 1.42%.
This quarter, Boise Cascade experienced a decrease in earnings per share, which was $3.67 in Q2 and is now $3.58.
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.