Overview Of Value Stocks In The Technology Sector

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.

Below is a list of notable value stocks in the technology sector:

1. Bel Fuse BELFB - P/E: 8.65
2. Bel Fuse BELFA - P/E: 9.01
3. China Index Holdings CIH - P/E: 3.97
4. SunPower SPWR - P/E: 9.61
5. Cheetah Mobile CMCM - P/E: 3.63

This quarter, Bel Fuse experienced a decrease in earnings per share, which was 0.2 in Q4 and is now -0.23. Its most recent dividend yield is at 1.7%, which has increased by 0.03% from 1.67% in the previous quarter.

Bel Fuse's earnings per share for Q1 sits at -0.23, whereas in Q4, they were at 0.18. Most recently, the company reported a dividend yield of 1.34%, which has decreased by 0.1% from last quarter's yield of 1.44%.

This quarter, China Index Holdings experienced an increase in earnings per share, which was 0.12 in Q3 and is now 0.15. China Index Holdings does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

SunPower saw a decrease in earnings per share from 0.14 in Q4 to 0.05 now. SunPower does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Cheetah Mobile saw an increase in earnings per share from 0.07 in Q4 to 0.08 now. Cheetah Mobile does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

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.