What are 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:

1. Kimco Realty KIM - P/E: 5.34
2. Great Ajax AJX - P/E: 9.85
3. Hunt Cos Finance Trust HCFT - P/E: 8.75
4. Equity Commonwealth EQC - P/E: 8.09
5. Ellington Residential EARN - P/E: 8.0

Kimco Realty saw a decrease in earnings per share from 0.37 in Q1 to 0.24 now. Most recently, the company reported a dividend yield of 5.58%, which has increased by 0.28% from last quarter’s yield of 5.3%.

Great Ajax’s earnings per share for Q2 sits at 0.27, whereas in Q1, they were at 0.02. Its most recent dividend yield is at 7.8%, which has decreased by 0.32% from 8.12% in the previous quarter.

Hunt Cos Finance Trust looks to be undervalued. It possesses an EPS of 0.09, which has not changed since last quarter (Q1). Most recently, the company reported a dividend yield of 11.41%, which has decreased by 0.74% from last quarter’s yield of 12.15%.

Equity Commonwealth saw a decrease in earnings per share from 0.08 in Q1 to 0.03 now. Equity Commonwealth does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Ellington Residential has reported Q2 earnings per share at 0.26, which has decreased by 3.7% compared to Q1, which was 0.27. Its most recent dividend yield is at 10.52%, which has increased by 0.29% from 10.23% in the previous quarter.

These 5 value stocks were selected by Benzinga Insights based on quantified analysis. While this methodical judgment process is not meant to make final decisions, our technology can give investors additional perception into the sector.