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Do you consider yourself a value investor? We used a classic value investing formula to create a list of potentially undervalued services stocks that may interest you.

We screened a universe of services stocks for those that appear undervalued relative to the Graham Number. The Graham Number is a measure of maximum fair value created by the "godfather of value investing," Benjamin Graham.

It is based on a stock's EPS and book value per share (BVPS).

Graham Number = SQRT(22.5 x TTM EPS x MRQ BVPS)

The equation assumes that P/E should not be higher than 15, and P/BV should not be higher than 1.5. Stocks trading well below their Graham Number may be undervalued.

We further screened the potentially undervalued services stocks with strong momentum, trading within 5% of their 52-week highs.

For an interactive version of this chart, click on the image below. Analyst ratings sourced from Zacks Investment Research.

If Graham were investing today, these service stocks would be on his radar. Their strong recent performance bodes well for these names, suggesting momentum and if they truly are undervalued, a climb towards fair value.

Do you think these stocks should be trading even higher? Use this list as a starting point for your own analysis.

1. SeaCube Container Leasing Ltd. (NYSE:BOX-OLD): Operates as a container leasing company worldwide. Market cap at $369.28M, most recent closing price at $18.20. Diluted TTM earnings per share at 2.29, and a MRQ book value per share value at 12.14, implies a Graham Number fair value = sqrt(22.5*2.29*12.14) = $25.01. Based on the stock's price at $18.2, this implies a potential upside of 37.42% from current levels. The stock is trading 3.4% below its 52-week high.

2. Gannett Co., Inc. (NYSE:GCI): Operates as a media and marketing solutions company in the United States and internationally. Market cap at $4.11B, most recent closing price at $17.90. Diluted TTM earnings per share at 1.84, and a MRQ book value per share value at 10.62, implies a Graham Number fair value = sqrt(22.5*1.84*10.62) = $20.97. Based on the stock's price at $17.9, this implies a potential upside of 17.14% from current levels. The stock is trading 9% below its 52-week high.

3. Southwest Airlines Co. (NYSE:LUV): Operates as a passenger airline that provides scheduled air transportation in the United States. Market cap at $7.24B, most recent closing price at $9.81. Diluted TTM earnings per share at 0.65, and a MRQ book value per share value at 9.49, implies a Graham Number fair value = sqrt(22.5*0.65*9.49) = $11.78. Based on the stock's price at $9.81, this implies a potential upside of 20.09% from current levels. The stock is trading 1.35% below its 52-week high.

4. PharMerica Corporation (NYSE:PMC): Operates as an institutional pharmacy services company in the United States. Market cap at $425.69M, most recent closing price at $14.44. Diluted TTM earnings per share at 0.9, and a MRQ book value per share value at 14.83, implies a Graham Number fair value = sqrt(22.5*0.9*14.83) = $17.33. Based on the stock's price at $14.44, this implies a potential upside of 20.01% from current levels. The stock is trading 9.65% below its 52-week high.

5. Royal Caribbean Cruises Ltd. (NYSE:RCL): Operates in the cruise vacation industry worldwide. Market cap at $7.64B, most recent closing price at $35.01. Diluted TTM earnings per share at 2.62, and a MRQ book value per share value at 39.91, implies a Graham Number fair value = sqrt(22.5*2.62*39.91) = $48.50. Based on the stock's price at $35.01, this implies a potential upside of 38.54% from current levels. The stock is trading 1.9% below its 52-week high.

6. Saia, Inc. (NASDAQ:SAIA): Provides transportation and supply chain solutions primarily to the retail, chemical, and manufacturing industries in the United States. Market cap at $341.65M, most recent closing price at $21.30. Diluted TTM earnings per share at 1.77, and a MRQ book value per share value at 15.61, implies a Graham Number fair value = sqrt(22.5*1.77*15.61) = $24.93. Based on the stock's price at $21.3, this implies a potential upside of 17.06% from current levels. The stock is trading 8.5% below its 52-week high.

* EPS and BVPS data sourced from Yahoo Finance. All other data sourced from Finviz.

Source: 6 Services Stocks Trading Near Highs Undervalued By Graham Number