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If you tend to find yourself following the moves of famous investors like George Soros, John Paulson or Seth Klarman, then this article might provide an interesting starting point.

To construct this list we looked for companies with the following characteristics:
- Market cap above $300M
- Price/Earnings To Growth (PEG) between 0.7 and 1
- Experiencing significant institutional buying over the current quarter

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.



We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.



Considering this data, which of stocks would you be more likely to invest in?

1. Ternium S.A. (NYSE:TX): Steel & Iron Industry. Market cap of $5.74B. PEG at 0.91. On a net basis, institutional investors bought 17.7M shares during the current quarter. This is equivalent to 33.89% of the floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 2.2). The stock has lost 18.94% over the last year.

2. Perry Ellis International Inc. (NASDAQ:PERY):
Textile Industry. Market cap of $348.41M. PEG at 0.79. On a net basis, institutional investors bought 3.5M shares during the current quarter. This is equivalent to 32.65% of the floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 2.13). The stock has performed poorly over the last month, losing 19.29%.

3. BlackRock, Inc. (NYSE:BLK): Asset Management Industry. Market cap of $36.42B. PEG at 0.9. On a net basis, institutional investors bought 31.5M shares during the current quarter. This is equivalent to 26.7% of the floating shares. The stock has gained 23.23% over the last year.

4. Hollysys Automation Technologies, Ltd (NASDAQ:HOLI): Industrial Electrical Equipment Industry. Market cap of $525.44M. PEG at 0.71. On a net basis, institutional investors bought 3.3M shares during the current quarter. This is equivalent to 14.42% of the floating shares. The stock is a short squeeze candidate, with a short float at 20.35% (equivalent to 8.58 days of average volume). The stock has had a couple of great days, gaining 10.92% over the last week.

5. Synaptics Inc. (NASDAQ:SYNA): Computer Peripherals Industry. Market cap of $880.57M. PEG at 0.76. On a net basis, institutional investors bought 4.3M shares during the current quarter. This is equivalent to 12.66% of the floating shares. The stock is a short squeeze candidate, with a short float at 27.74% (equivalent to 21.47 days of average volume). The stock has performed poorly over the last month, losing 12.49%.

6. Ebix Inc. (NASDAQ:EBIX): Business Software & Services Industry. Market cap of $800.85M. PEG at 0.87. On a net basis, institutional investors bought 3.7M shares during the current quarter. This is equivalent to 10.87% of the floating shares. The stock is a short squeeze candidate, with a short float at 25.94% (equivalent to 7.64 days of average volume). The stock has gained 29.24% over the last year.

7. Mercer International Inc. (NASDAQ:MERC): Paper & Paper Products Industry. Market cap of $500.75M. PEG at 0.72. On a net basis, institutional investors bought 3.7M shares during the current quarter. This is equivalent to 10.69% of the floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 3.31). The stock has performed poorly over the last month, losing 15.95%.

8. Pep Boys (NYSE:PBY):
Auto Parts Stores Industry. Market cap of $574.63M. PEG at 0.7. On a net basis, institutional investors bought 4.8M shares during the current quarter. This is equivalent to 10.31% of the floating shares. The stock is a short squeeze candidate, with a short float at 13.96% (equivalent to 7.79 days of average volume). The stock has had a couple of great days, gaining 5.41% over the last week. The stock has performed poorly over the last month, losing 19.19%.

9. Penske Automotive Group, Inc. (NYSE:PAG): Auto Dealerships Industry. Market cap of $1.85B. PEG at 0.8. On a net basis, institutional investors bought 4.3M shares during the current quarter. This is equivalent to 9.64% of the floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 2.03). The stock is a short squeeze candidate, with a short float at 9.56% (equivalent to 12.95 days of average volume). The stock has gained 60.% over the last year.

10. Medifast Inc. (NYSE:MED): Specialty Retail, Other Industry. Market cap of $345.63M. PEG at 0.83. On a net basis, institutional investors bought 976.6K shares during the current quarter. This is equivalent to 8.15% of the floating shares. The stock is a short squeeze candidate, with a short float at 26.85% (equivalent to 6.28 days of average volume). The stock has lost 18.52% over the last year.

11. Impax Laboratories Inc. (NASDAQ:IPXL): Drug Manufacturers Industry. Market cap of $1.33B. PEG at 0.81. On a net basis, institutional investors bought 4.7M shares during the current quarter. This is equivalent to 7.93% of the floating shares. The stock is a short squeeze candidate, with a short float at 8.56% (equivalent to 7.37 days of average volume). The stock has performed poorly over the last month, losing 24.84%.

12. Noah Holdings Limited (NYSE:NOAH):
Asset Management Industry. Market cap of $553.60M. PEG at 0.85. On a net basis, institutional investors bought 1.3M shares during the current quarter. This is equivalent to 7.81% of the floating shares. The stock is a short squeeze candidate, with a short float at 23.01% (equivalent to 13.06 days of average volume). It's been a rough couple of days for the stock, losing 6.85% over the last week.

13. Ruby Tuesday, Inc. (NYSE:RT):
Restaurants Industry. Market cap of $645.14M. PEG at 0.9. On a net basis, institutional investors bought 4.1M shares during the current quarter. This is equivalent to 7.41% of the floating shares. The stock is a short squeeze candidate, with a short float at 9.35% (equivalent to 5.8 days of average volume). The stock has gained 0.92% over the last year.

14. Green Plains Renewable Energy, Inc. (NASDAQ:GPRE): Specialty Chemicals Industry. Market cap of $371.38M. PEG at 0.93. On a net basis, institutional investors bought 1.5M shares during the current quarter. This is equivalent to 7.26% of the floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 2.16). The stock is a short squeeze candidate, with a short float at 15.52% (equivalent to 15.86 days of average volume). The stock has lost 16.39% over the last year.

15. Brookfield Infrastructure Partners L.P. (NYSE:BIP): Electric Utilities Industry. Market cap of $3.75B. PEG at 0.88. On a net basis, institutional investors bought 10.1M shares during the current quarter. This is equivalent to 6.58% of the floating shares. The stock has gained 48.45% over the last year.

*Data sourced from Fidelity and Finviz.

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

Source: 15 Undervalued Stocks Being Snapped by Institutional Investors