A Look Into Industrials Sector Value Stocks

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.

Benzinga Insights has compiled a list of value stocks in the industrials sector that may be worth watching:

1. Encore Wire WIRE - P/E: 6.57
2. CBAK Energy Technology CBAT - P/E: 3.55
3. Greenland Technologies GTEC - P/E: 6.84
4. Navios Maritime Partners NMM - P/E: 1.91
5. ZIM Integrated Shipping ZIM - P/E: 2.08

This quarter, Encore Wire experienced a decrease in earnings per share, which was 8.82 in Q2 and is now 8.51. Most recently, the company reported a dividend yield of 0.06%, which has decreased by 0.03% from last quarter's yield of 0.09%.

This quarter, CBAK Energy Technology experienced an increase in earnings per share, which was 0.02 in Q2 and is now 0.23. CBAK Energy Technology does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Greenland Technologies's earnings per share for Q3 sits at 0.09, whereas in Q2, they were at 0.26. Greenland Technologies does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

This quarter, Navios Maritime Partners experienced an increase in earnings per share, which was 4.31 in Q2 and is now 4.77. Most recently, the company reported a dividend yield of 0.67%, which has decreased by 0.17% from last quarter's yield of 0.84%.

Most recently, ZIM Integrated Shipping reported earnings per share at 12.16, whereas in Q2 earnings per share sat at 7.38. Last quarter the company paid a dividend of $2.50 per share and reported a dividend yield of 19.96%.

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.