5 Value Stocks To Watch In The Communication Services Sector

What is a Value Stock?

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 communication services sector that may be worth watching:

1. GD Culture Group GDC - P/E: 0.28
2. Lizhi LIZI - P/E: 1.23
3. Scienjoy Holding SJ - P/E: 6.25
4. Telecom Argentina TEO - P/E: 4.47
5. Hello Gr MOMO - P/E: 5.56

GD Culture Group saw a decrease in earnings per share from -0.07 in Q2 to $-1.15 now. Lizhi has reported Q2 earnings per share at $0.5, which has decreased by 68.75% compared to Q1, which was 1.6. This quarter, Scienjoy Holding experienced an increase in earnings per share, which was $0.02 in Q1 and is now $0.29. Telecom Argentina has reported Q2 earnings per share at $0.03, which has decreased by 91.18% compared to Q1, which was 0.34. Hello Gr's earnings per share for Q2 sits at $0.43, whereas in Q1, they were at 0.34.

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.