Top 10 US value stocks
Welcome to another blog post by LJ Nissen. As we mentioned in our last post, we would pick the top 10 US value stocks and look at the performance of those stocks over the next year.
The criteria that I use are those of Lord Lee of Trafford:
- P/E ratio below 10.
- Dividend yield of 5% or more.
- I should be prepared to hold the stocks for at least 5 years.
- I should not worry about short-term movements.
The stocks that we’ve found that meet all the criteria are the following:
| Name (Ticker) | P/E | Dividend Yield | Business | Price |
|---|---|---|---|---|
| AVX Corporation (AVX) | 10.25 | 3.45% | Electronic Components | 12.40 |
| The Buckle (BKE) | 9.65 | 3.27% | Apparel company | 30.67 |
| Cummins Inc (CMI) | 9.56 | 4.46% | Natural gas engines | 89.30 |
| GATX Company (GMT) | 9.20 | 3.70% | Leases, operates and manages rail | 42.67 |
| GameStop Corp (GME) | 7.66 | 5.03% | Videogame retailer | 28.37 |
| HCI Group (HCI) | 5.75 | 3.52% | Insurance Company | 35.30 |
| The Macerich Company (MAC) | 8.37 | 3.43% | Real Estate | 80.17 |
| Pier 1 Imports (PIR) | 8.33 | 5.51% | Decorative home furnishings | 5.20 |
| Rocky Brands (RCKY) | 9.13 | 3.78% | Footwear manufacturer | 11.68 |
| West Corporation (WSTC) | 8.18 | 4.14% | Diversified communication services | 21.75 |
Table 1. These were the top 10 US value stocks as of January 31’st 2015. Name and ticker symbol are in the left column, the P/E-ratio is second column, the dividend yield in the third, the business in the fourth and finally the price is in the fifth column.
Note: I would advice you not to invest in just one of these companies but to take a portfolio approach and invest in them all.
Now that I’ve caught your attention, I would appreciate it if you downloaded my primer “Our three favorite gold stocks”.
You can download it for free here.
Published December 31’st 2015.