5 Value Stocks To Watch In The Industrials Sector

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.

The following stocks are considered to be notable value stocks in the industrials sector:

1. Costamare CMRE - P/E: 1.96
2. Pangaea Logistics Solns PANL - P/E: 4.45
3. Grindrod Shipping Hldgs GRIN - P/E: 2.29
4. Eneti NETI - P/E: 4.53
5. Ryerson Holding RYI - P/E: 5.11

Costamare has reported Q1 earnings per share at $0.38, which has decreased by 37.7% compared to Q4, which was 0.61. Most recently, the company reported a dividend yield of 4.89%, which has decreased by 0.07% from last quarter's yield of 4.96%.

Pangaea Logistics Solns's earnings per share for Q1 sits at $0.11, whereas in Q4, they were at 0.32. The company's most recent dividend yield sits at 6.61%, which has increased by 0.2% from 6.41% last quarter.

Grindrod Shipping Hldgs saw a decrease in earnings per share from 0.56 in Q4 to $-0.22 now. Most recently, the company reported a dividend yield of 1.18%, which has increased by 0.44% from last quarter's yield of 0.74%.

Most recently, Eneti reported earnings per share at $-0.48, whereas in Q4 earnings per share sat at $0.32. Its most recent dividend yield is at 0.43%, which has increased by 0.02% from 0.41% in the previous quarter.

Ryerson Holding has reported Q1 earnings per share at $1.27, which has increased by 295.38% compared to Q4, which was -0.65. Most recently, the company reported a dividend yield of 1.91%, which has increased by 0.17% from last quarter's yield of 1.74%.

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.