The Top 9 Best Undervalued Stocks - Achieve Investment Goal InvestingPR.com

The Top 9 Best Undervalued Stocks – Achieve Investment Goals

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It doesn’t matter if you’re an investor looking for rapid portfolio growth or a stable investment that you can count on for years to come; finding an undervalued stock is a great way to achieve your investment goals.

Of course, finding an undervalued stock is easier said than done. If it was easy then these stocks likely wouldn’t be undervalued in the first place. It takes time and patience to find undervalued stocks that are perfect to add to your portfolio.

In this article we are going to discuss some of the best undervalued stocks of 2018, why they are being overlooked by some investors, and why we believe these stocks are ripe for a substantial increase throughout the coming months and years.

If you agree that these stocks are undervalued after doing your own research then you may have found a perfect buying opportunity to help grow your portfolio.

Name of Undervalued Stocs

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Ratings

1. Disney - $DIS

Walt Disney

2. Dave & Busters - $PLAY

Dave and Buster's

3. Microsoft - $MSFT

Microsoft

4. Comcast - $CMCSA

COMCAST

5. Advanced Micro Devices - $AMD

AMD

6. Enbridge – $ENB

ENBRIDGE

7. Aphria - $APH

Aphria

8. Ford - $F

FORD

9. Visa - $V

VISA

How We Determine Undervalued Stocks


There are a variety of ways that investors identify undervalued stocks. Some stocks may check off all the boxes that indicate undervalued stocks while others only check off a few. This can make predicting undervalued stocks somewhat difficult.

checking undervalued stocks

Price to earnings ratio (P/E) is something that investors often use to determine the value of a stock. You can discover P/E by dividing share price by earnings.

A lower P/E generally means a stock is more of a value investment. However, you have to be careful using P/E to compare stocks, especially across different industries. Comparing different industries by P/E is like comparing apples and oranges.

There are other calculations like price to earnings to growth (PEG) and debt to equity ratio that give us an idea of how well a company is doing. However, sometimes you have to look past the numbers and statistics to take a wider view of things.

Examining the industry trends, what may be working in favor of a stock, and what could be holding it back are all considerations we have to look at. Has a recent pullback occurred that affected an entire industry and made some stock undervalued?

Finally, we also want to consider stock price. This is less important than other factors because an expensive stock can still be undervalued and worth buying. With that said, it’s much easier to act on an undervalued stock if the stock is actually affordable for the average retail investor.

Now, let’s look at the 10 undervalued stocks that can help you grow your earnings in 2018.

1. Disney - $DIS

Everyone knows about Disney. That’s a good first sign if you are an investor. Mickey Mouse is the most iconic cartoon character the world has ever known and, of course, Disney has enjoyed substantial success beyond just their classic characters.

After acquiring 21st Century Fox entertainment assets, Disney has developed into the behemoth of the entertainment industry. In fact, it’s estimated that Disney may now own 30% of the titles being produced in Hollywood.

Not only does this mean Disney will be enjoying a constant stream of revenue from movie theatre goers but their ability to compete with the likes of Netflix when it comes to in-home streaming is going to set the company up very nicely for the future.

Walt Disney

As of this writing, the Netflix share price is more than three times that of Disney. Needless to say, we believe Disney has serious room to grow in the coming years.

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2. Dave & Busters - $PLAY

The restaurant and gaming chain that has captured the attention of adults looking for a fun night out on the town is primed for some growth in their stock price.

Dave & Busters has had a volatile year on the stock market. The company has a high p/e which may scare away some value investors but Dave & Busters is also showing exceptional growth. Their growth levels are on-par with some of the hottest tech stocks. This is almost unheard of for a restaurant chain.

That’s because Dave & Busters has revolutionized the way people enjoy dinner and drinks with friends. They have found the formula that combines the massive gaming industry with the massive restaurant industry.

Dave and Buster's

Best of all, we have seen the potential for the Dave & Busters stock with share prices eclipsing $60 within the last year.

3. Microsoft - $MSFT

How can the stock of one of the world’s most well-known and successful companies be undervalued?

Microsoft has taken a back seat to the likes of Amazon, Facebook, Tesla, and Netflix when it comes to investor hype in the tech industry. However, Microsoft has been successful long before any of those companies were even on the radar.

Microsoft
COMCAST
AMD
ENBRIDGE
Aphria
FORD
VISA

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