Overview Of Value Stocks In The Energy Sector

Understanding 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 energy sector:

1. GasLog Partners GLOP - P/E: 5.23
2. Smart Sand SND - P/E: 3.42
3. Vermilion Energy VET - P/E: 4.93
4. Summit Midstream Partners SMLP - P/E: 0.57
5. Equitrans Midstream ETRN - P/E: 9.26

GasLog Partners's earnings per share for Q1 sits at 0.5, whereas in Q4, they were at 0.38. Most recently, the company reported a dividend yield of 1.38%, which has increased by 0.16% from last quarter's yield of 1.22%.

Smart Sand has reported Q1 earnings per share at -0.09, which has decreased by 28.57% compared to Q4, which was -0.07. Smart Sand does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Vermilion Energy has reported Q1 earnings per share at -0.79, which has decreased by 182.14% compared to Q4, which was -0.28. The company's most recent dividend yield sits at 28.87%, which has increased by 14.13% from 14.74% last quarter.

Summit Midstream Partners has reported Q1 earnings per share at 0.12, which has decreased by 97.59% compared to Q4, which was 4.97. Its most recent dividend yield is at 14.71%, which has decreased by 9.2% from 23.91% in the previous quarter.

This quarter, Equitrans Midstream experienced a decrease in earnings per share, which was 0.31 in Q4 and is now 0.19. Most recently, the company reported a dividend yield of 7.53%, which has decreased by 0.86% from last quarter's yield of 8.39%.

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.