The Meaning Behind 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 real estate sector that may be worth watching:
- Weyerhaeuser WY - P/E: 8.74
- Anywhere Real Estate HOUS - P/E: 3.43
- AFC Gamma AFCG - P/E: 7.66
- LXP Industrial Trust LXP - P/E: 8.08
- Apartment Inv & Mgmt AIV - P/E: 4.5
Weyerhaeuser's earnings per share for Q2 sits at $1.06, whereas in Q1, they were at 1.31. The company's most recent dividend yield sits at 2.0%, which has increased by 0.09% from 1.91% last quarter.
Anywhere Real Estate saw an increase in earnings per share from -0.19 in Q1 to $0.69 now. AFC Gamma's earnings per share for Q2 sits at $0.69, whereas in Q1, they were at 0.62. Most recently, the company reported a dividend yield of 12.9%, which has decreased by 1.18% from last quarter's yield of 14.08%.
LXP Industrial Trust's earnings per share for Q2 sits at $0.17, whereas in Q1, they were at 0.16. Its most recent dividend yield is at 4.92%, which has increased by 0.23% from 4.69% in the previous quarter.
Apartment Inv & Mgmt has reported Q2 earnings per share at $1.57, which has increased by 3040.0% compared to Q1, which was 0.05.
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.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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