Overview Of Value Stocks In The Communication Services Sector
The Meaning Behind Value Stocks
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.
Below is a list of notable value stocks in the communication services sector:
- Urban One (NASDAQ:UONE) - P/E: 7.42
- Verizon Communications (NYSE:VZ) - P/E: 6.76
- AdTheorent Holding (NASDAQ:ADTH) - P/E: 6.56
- Scienjoy Holding (NASDAQ:SJ) - P/E: 7.12
- Liberty Latin America (NASDAQ:LILAK) - P/E: 9.42
Urban One's earnings per share for Q4 sits at $0.02, whereas in Q3, they were at 0.08. Most recently, Verizon Communications reported earnings per share at $1.21, whereas in Q1 earnings per share sat at $1.2. The company's most recent dividend yield sits at 7.78%, which has increased by 0.45% from 7.33% last quarter.
This quarter, AdTheorent Holding experienced an increase in earnings per share, which was $-0.06 in Q1 and is now $0.09. Scienjoy Holding has reported Q2 earnings per share at $0.29, which has increased by 1350.0% compared to Q1, which was 0.02. Liberty Latin America has reported Q2 earnings per share at $0.17, which has increased by 173.91% compared to Q1, which was -0.23.
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.