Stocks that meet this criteria are a select bunch. Trading under book value implies that the market values a company’s shares at a discount to its liquidation value. On top of that, its assets are realizing a return of more than 15% while also experiencing positive revenue growth. If you’re a value investor, then, you’ll likely be interested in the five companies on this list.
Automodular Corp. (TSX: AM) – $2.32
Auto, Truck & Motorcycle Parts
Automodular Corporation is a Canada-based sequencer and sub-assembler of components and modules that are installed in cars and trucks made by North American Original Equipment Manufacturers (OEMs). The ’Company’s products include instrument panel, rear suspension, front corner, front center suspension, front strut and bolster. Automodular Corporation also manufactures complex sub-assemblies such as cockpits, suspension units and power packs. The company helps the renewable energy companies in sub-assembly of complex components; sequencing of the finished product in the order required; transportation and logistics; and installation and maintenance services.
- Market Cap: $45,024,152
- Price to Book Value: 0.83x
- ROA: 23.0%
- Revenue CAGR (3 years): 2.2%
Crocodile Gold Corp. (TSX: CRK) – $0.34
Gold
Crocodile Gold Corp. (Crocodile Gold) is Canada-based gold mining company that operates the Cosmo Gold Mine in the Northern Territory, Australia and the Fosterville Gold Mine and Stawell Gold Mine in the State of Victoria, Australia. Currently, the Company has 3 underground mines at Cosmo, Stawell, and Fosterville. The Company is currently focusing on the Big Hill Project at Stawell. The Fosterville Gold Mine has 2.069 million ounces of Measured and Indicated mineral resources. The Stawell Gold Mine is focused on remnant mining and the evaluation of resources in the upper level of the mine as it transitions from underground mining.
- Market Cap: $162,081,469
- Price to Book Value: 0.99x
- ROA: 16.2%
- Revenue CAGR (3 years): 37.8%
Sterling Resources Ltd. (TSXV: SLG) – $0.17
Oil & Gas Exploration and Production
Sterling Resources Ltd. is a Canada-based energy company engaged in the exploration, appraisal and development of crude oil and natural gas in the United Kingdom, Romania, the Netherlands and France. The company’s offshore properties include licenses in two Blocks in the Northern North Sea (oil), one block in the Central North Sea (oil) and 15 blocks in the Southern North Sea (gas). The Company holds interests in three onshore United Kingdom basins.
- Market Cap: $64,812,718
- Price to Book Value: 0.14x
- ROA: 18.3%
- Revenue CAGR (3 years): 283.0%
United Corporations Ltd. (TSX: UNC) – $88.01
Closed End Funds
United Corporations Limited (United) is a Canada-based closed-end investment company with its bonds and preferred shares offered for sale to the public. It is an investment vehicle for long-term growth through investments in common equities. The objective of the Company is to earn an above-average rate of return, primarily through long-term capital appreciation and dividend income. The investment portfolio of the Company comprises a mix of predominantly foreign equities. The Company’s exposure to non-Canadian equities is approximately 95% of its investments. The external investment portfolio of the Company is managed by Jarislowsky Fraser Limited and ValueInvest Asset Management S.A.
- Market Cap: $1,074,764,803
- Price to Book Value: 0.74x
- ROA: 17.4%
- Revenue CAGR (3 years): 13.2%
Utility Corp. (TSX: UTC.C) – $25.81
Mutual Funds
Utility Corp. is a mutual fund company with an investment portfolio consisting of publicly-listed income trusts and companies of selected Canadian utility and telecommunication issuers. The Fund provides investors with a stable monthly dividend stream and capital appreciation potential through the investment in a range portfolio of common shares of selected publicly-listed Canadian utility companies.
- Market Cap: $53,562,910
- Price to Book Value: 0.90x
- ROA: 20.7%
- Revenue CAGR (3 years): 1.4%
