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If you consider yourself a value investor, you may be interested in this list.

We ran a screen on stocks that appear undervalued relative to earnings growth (with PEG below 1) and free cash flow (with P/FCF below 15). We screened these stocks for those with the highest net insider buying over the last six months.

Insiders, such as members of the board and upper management, report when they buy company shares. This is viewed as a very bullish signal by analysts because who knows more about a company than its insiders?

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.

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

List sorted by net insider purchases as a percent of share float.

1. Assured Guaranty Ltd. (NYSE:AGO): Provides credit enhancement products to the public finance, structured finance, and mortgage markets in the United States and internationally. Market cap of $2.90B. PEG at 0.83, P/FCF at 3.62. Net insider shares purchased over the last six months at 3.87M, which is 2.41% of the company's 160.59M share float. This is a risky stock that is significantly more volatile than the overall market (beta = 2.4). Exhibiting strong upside momentum--currently trading 11.18% above its SMA20, 26.38% above its SMA50, and 16.5% above its SMA200. The stock has had a good month, gaining 24.69%.

2. Newcastle Investment Corp. (NYSE:NCT): Operates as a real estate investment and finance company that invests in and manages a portfolio consisting primarily of real estate securities. Market cap of $539.57M. PEG at 0.40, P/FCF at 14.20. Net insider shares purchased over the last six months at 1.31M, which is 1.29% of the company's 101.70M share float. This is a risky stock that is significantly more volatile than the overall market (beta = 3.43). The stock has had a couple of great days, gaining 5.56% over the last week.

3. Nasdaq OMX Group Inc. (NASDAQ:NDAQ): Provides trading, clearing, exchange technology, securities listing, and public company services worldwide. Market cap of $4.49B. PEG at 0.81, P/FCF at 8.05. Net insider shares purchased over the last six months at 881.72K, which is 0.69% of the company's 127.04M share float. Might be undervalued at current levels, with a PEG ratio at 0.81, and P/FCF ratio at 8.05. The stock has gained 5.54% over the last year.

4. Sun Healthcare Group, Inc. (NASDAQ:SUNH): Provides health care services primarily for senior population in the United States. Market cap of $313.41M. PEG at 0.46, P/FCF at 4.68. Net insider shares purchased over the last six months at 91.04K, which is 0.46% of the company's 19.97M share float. The stock has recently rebounded, and is currently trading 9.96% above its SMA20 and 23.05% above its SMA50. However, the stock still trades 30.94% below its SMA200. The stock has had a couple of great days, gaining 5.81% over the last week.

5. ChinaCast Education Corporation (OTCPK:CAST): Provides post-secondary education and e-learning services in China. Market cap of $309.32M. PEG at 0.84, P/FCF at 7.71. Net insider shares purchased over the last six months at 107.31K, which is 0.38% of the company's 28.19M share float. Might be undervalued at current levels, with a PEG ratio at 0.84, and P/FCF ratio at 7.71. The stock is a short squeeze candidate, with a short float at 6.48% (equivalent to 10.1 days of average volume). The stock has had a couple of great days, gaining 8.05% over the last week.

6. Mercer International Inc. (NASDAQ:MERC): Manufactures and sells pulp produced from wood chips and pulp logs. Market cap of $441.22M. PEG at 0.80, P/FCF at 3.29. Net insider shares purchased over the last six months at 67.0K, which is 0.18% of the company's 36.98M share float. This is a risky stock that is significantly more volatile than the overall market (beta = 3.12). Might be undervalued at current levels, with a PEG ratio at 0.8, and P/FCF ratio at 3.29. The stock has recently rebounded, and is currently trading 21.73% above its SMA20 and 29.19% above its SMA50. However, the stock still trades 12.56% below its SMA200. The stock has had a couple of great days, gaining 20.03% over the last week.

7. Digital Generation, Inc. (NASDAQ:DGIT): Provides digital technology services that enable the electronic delivery of advertisements, syndicated programs, and video news releases to traditional broadcasters, online publishers, and other media outlets. Market cap of $370.97M. PEG at 0.54, P/FCF at 6.41. Net insider shares purchased over the last six months at 37.0K, which is 0.16% of the company's 23.73M share float. The stock has had a couple of great days, gaining 10.31% over the last week.

8. Community Health Systems, Inc. (NYSE:CYH): Provides healthcare services through the operation of hospitals in the United States. Market cap of $1.58B. PEG at 0.42, P/FCF at 5.41. Net insider shares purchased over the last six months at 139.50K, which is 0.16% of the company's 85.49M share float. The stock has lost 51.81% over the last year.

9. R.R. Donnelley & Sons Company (NASDAQ:RRD): Provides pre-media, printing, logistics, and business process outsourcing products and services to private and public sectors worldwide. Market cap of $2.29B. PEG at 0.94, P/FCF at 9.0. Net insider shares purchased over the last six months at 206.20K, which is 0.11% of the company's 186.22M share float. Might be undervalued at current levels, with a PEG ratio at 0.94, and P/FCF ratio at 9. The stock is a short squeeze candidate, with a short float at 14.92% (equivalent to 8.34 days of average volume). The stock is currently stuck in a downtrend, trading 14.46% below its SMA20, 16.34% below its SMA50, and 25.72% below its SMA200. It's been a rough couple of days for the stock, losing 17.18% over the last week.

10. Central Pacific Financial Corp. (NYSE:CPF): Operates as the bank holding company for Central Pacific Bank that provides commercial banking services to businesses, professionals, and individuals in Hawaii. Market cap of $588.68M. PEG at 0.77, P/FCF at 7.11. Net insider shares purchased over the last six months at 20.55K, which is 0.09% of the company's 22.16M share float. Might be undervalued at current levels, with a PEG ratio at 0.77, and P/FCF ratio at 7.11. The stock has had a good month, gaining 17.4%.

11. Ebix Inc. (NASDAQ:EBIX): Provides on-demand software and e-commerce solutions to the insurance industry. Market cap of $902.43M. PEG at 0.95, P/FCF at 13.16. Net insider shares purchased over the last six months at 25.50K, which is 0.07% of the company's 34.54M share float. The stock is a short squeeze candidate, with a short float at 31.55% (equivalent to 25.27 days of average volume). Exhibiting strong upside momentum--currently trading 8.69% above its SMA20, 18.7% above its SMA50, and 35.35% above its SMA200. The stock has had a good month, gaining 18.51%.

12. DepoMed Inc. (NASDAQ:DEPO): Develops and commercializes pharmaceutical products based on its proprietary oral drug delivery technologies in the United States. Market cap of $341.26M. PEG at 0.13, P/FCF at 4.70. Net insider shares purchased over the last six months at 25.0K, which is 0.05% of the company's 46.32M share float. The stock is a short squeeze candidate, with a short float at 8.3% (equivalent to 8.49 days of average volume). The stock has had a good month, gaining 31.34%.

*Insider data sourced from Yahoo! Finance, all other data sourced from Finviz.

Source: 12 Highly Undervalued Stocks Being Snapped Up By Insiders