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If you're a value investor looking for new ideas, the following list might offer an interesting starting point.

The following is a list of undervalued stocks, with Price to Earnings Growth (PEG) ratios below 1. Additionally, all of these stocks have conservative accounting practices, according to the ratings developed by forensic accounting firm Audit Integrity.

Audit Integrity was founded in 2002 to develop risk management tools based on a statistical analysis of corporate integrity. The Accounting and Governance Risk (AGR) rating is a forensic measure of the transparency and reliability of a corporation's financial reporting and governance practices. The closer the score is to 100, the more conservative the company's accounting practices, according to Audit Integrity.

All the companies in this list have high AGR scores above 86, i.e. more conservative and transparent accounting practices than most other firms.

PEG ratios and short float values sourced from Finviz, AGR ratings sourced from Audit Integrity.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research. Note: The numbers on top of items represent the forward P/E ratio, if available.

Sorted by AGR scores.

1. Citi Trends (CTRN): Apparel Stores Industry. Market cap of $328.04M. PEG at 0.85. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 100. The stock is a short squeeze candidate, with a short float at 6.47% (equivalent to 5.74 days of average volume). The stock has lost 24.69% over the last year.

2. Shoe Carnival Inc. (SCVL): Apparel Stores Industry. Market cap of $347.56M. PEG at 0.9. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 95. The stock has gained 31.% over the last year.

3. Clean Harbors, Inc. (CLH):
Waste Management Industry. Market cap of $2.45B. PEG at 0.88. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 94. Relatively low correlation to the market (beta = 0.37), which may be appealing to risk averse investors. The stock is also a short squeeze candidate, with a short float at 9.29% (equivalent to 12.66 days of average volume). The stock has gained 64.69% over the last year.

4. Delphi Financial Group, Inc. (DFG): Life Insurance Industry. Market cap of $1.65B. PEG at 0.95. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 94. The stock has gained 40.58% over the last year.

5. FleetCor Technologies, Inc. (FLT): Business Services Industry. Market cap of $2.42B. PEG at 0.88. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 94. It's been a rough couple of days for the stock, losing 5.51% over the last week.

6. Everest Re Group Ltd. (RE): Property and Casualty Insurance Industry. Market cap of $4.85B. PEG at 0.81. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 93. Relatively low correlation to the market (beta = 0.52), which may be appealing to risk averse investors. Might be undervalued at current levels, with a PEG ratio at 0.81, and P/FCF ratio at 5.99. The stock has gained 9.34% over the last year.

7. Chimera Investment Corporation (CIM): REIT. Market cap of $4.28B. PEG at 0.82. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 92. The stock has gained 25.37% over the last year.

8. Kennametal Inc. (KMT): Machine Tools and Accessories Industry. Market cap of $3.25B. PEG at 0.94. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 90. The stock has had a couple of great days, gaining 6.08% over the last week.

9. Align Technology Inc. (ALGN): Medical Appliances and Equipment Industry. Market cap of $1.66B. PEG at 0.87. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 89. This is a risky stock that is significantly more volatile than the overall market (beta = 2.06). The stock is a short squeeze candidate, with a short float at 13.16% (equivalent to 11.79 days of average volume). The stock has had a couple of great days, gaining 10.54% over the last week.

10. Hess Corporation (HES): Oil and Gas Refining and Marketing Industry. Market cap of $28.01B. PEG at 0.94. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 89. The stock has gained 41.95% over the last year.

11. Medicines Co. (MDCO)
: Drug Manufacturer. Market cap of $916.71M. PEG at 0.88. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 89. Relatively low correlation to the market (beta = 0.67), which may be appealing to risk averse investors. Exhibiting strong upside momentum - currently trading 5.97% above its SMA20, 10.18% above its SMA50, and 38.04% above its SMA200. The stock has gained 103.92% over the last year.

12. RLI Corp. (RLI): Property and Casualty Insurance Industry. Market cap of $1.20B. PEG at 0.87. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 88. Relatively low correlation to the market (beta = 0.41), which may be appealing to risk averse investors. The stock is a short squeeze candidate, with a short float at 7.13% (equivalent to 7.98 days of average volume). The stock has gained 20.73% over the last year.

13. Triple-S Management Corporation (GTS):
Accident and Health Insurance Industry. Market cap of $591.54M. PEG at 0.83. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 87. The stock has gained 14.5% over the last year.

14. ProAssurance Corporation (PRA): Property and Casualty Insurance Industry. Market cap of $1.94B. PEG at 0.85. According to Audit Integrity, the company has conservative accounting practices, with an AGR score of 86. Relatively low correlation to the market (beta = 0.41), which may be appealing to risk averse investors. The stock has gained 16.16% over the last year.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: Value Ideas: Undervalued Stocks With Conservative Accounting Practices