Sunday, December 06, 2015

Perfect Stocks: Low PE, PEG, PS, & PB, and High Yield

If you had to define the perfect stocks, what would the characteristics be? The classic ratios are the following:

PE ~ price to earnings ratio ~ the lower the better
PEG ~ price to earnings growth ratio ~ the lower the better
PS ~ price to sales ratio ~ the lower the better
PB ~ price to book value ratio ~ the lower the better
Yield ~ the dividend payout rate ~ the higher the better

In the case of the PEG, the PS, and the PB, a ratio of less than one is considered excellent. In the case of the PE ratio, less than 15 is good. As for the yield, 2% or higher is considered decent, far better than any bank account, certificate of deposit, or money market fund.

The following is a selection of stocks that meet all the above criteria. For the PE ratio, the forward price to earnings ratio was used.

AU Optronics (AUO)
Avianca Holdings (AVH)
China Yuchai International (CYD)
Gafisa (GFA)
Global Power Equipment (GLPW)
LG Display (LPL)
POSCO (PKX)
Rocky Brands (RCKY)
Seadrill Partners (SDLP)
Stage Stores (SSI)
Sunoco (SUN)

Only four of the companies are baed in the United States, GLPW, RCKY, SSI, and SUN. Check them out. Maybe you can find the perfect stock in this list. If you like interesting stock lists like this, check out many of the free stock lists at WallStreetNewsNetwork.com.

Disclosure: Author didn't own any of the above at the time the article was written.

By Stockerblog.com

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