Today, we have picked 10 stocks across sectors which appear to be undervalued and have recorded improving free cash flow (FCF) every year during the last three years. These companies are currently trading at low Price-to-Earning (P/E), Price to Book (P/B) and Price to Cash Flow (P/CF) ratios with relatively low PEG ratio, which is considered as attractive investment metrics from a valuation standpoint. We note that during the past three months, majority of these stocks have accumulated gains with average daily traded volume in excess of 100,000 shares.
|
Company Name |
Exchange |
Ticker |
Market Cap |
Last Price |
Average Volume |
Price Change |
FCF* |
FCF* |
FCF* |
FCF Growth |
PE Ratio |
Price to Book Ratio |
Price to Cash Flow Ratio |
|
Maiden Holdings Ltd |
NASDAQ |
MHLD |
0.8 |
11.64 |
444,736 |
-8.2% |
179.7 |
318.7 |
366.2 |
14.9% |
15.4 |
1.0 |
1.7 |
|
Cash America International |
NYSE |
CSH |
1.2 |
43.52 |
408,840 |
5.7% |
379.0 |
438.9 |
525.2 |
19.7% |
8.0 |
1.2 |
2.2 |
|
AmTrust Financial Services Inc |
NASDAQ |
AFSI |
3.2 |
42.45 |
616,811 |
12.2% |
256.0 |
504.1 |
875.9 |
73.8% |
11.8 |
2.2 |
2.8 |
|
Quad/Graphics Inc |
NYSE |
QUAD |
1.1 |
21.86 |
172,829 |
-5.4% |
202.8 |
250.7 |
291.6 |
16.3% |
11.7 |
0.8 |
2.9 |
|
Hancock Holding Co |
NASDAQ |
HBHC |
2.9 |
35.16 |
446,482 |
-4.8% |
200.1 |
400.1 |
441.5 |
10.4% |
15.7 |
1.2 |
6.5 |
|
Apollo Commercial Real Estate Finance Inc |
NYSE |
ARI |
0.8 |
16.63 |
477,080 |
-1.0% |
35.5 |
40.1 |
46.0 |
14.7% |
12.1 |
0.9 |
7.6 |
|
Artis Real Estate Investment Trust |
TSX |
AX-U |
2.1 |
15.64 |
525,193 |
-0.1% |
44.2 |
99.9 |
107.0 |
7.1% |
15.2 |
0.9 |
10.3 |
|
Corus Entertainment Inc |
TSX |
CJR/B |
2.2 |
25.53 |
337,729 |
4.5% |
115.8 |
151.1 |
154.0 |
1.9% |
14.4 |
1.6 |
10.6 |
|
j2 Global Inc |
NASDAQ |
JCOM |
2.4 |
50.08 |
425,709 |
2.0% |
143.9 |
164.9 |
174.7 |
6.0% |
18.8 |
3.2 |
12.0 |
|
Alaris Royalty Corp |
TSX |
AD |
0.8 |
28.64 |
114,602 |
-2.9% |
14.6 |
26.5 |
43.7 |
65.3% |
17.3 |
1.9 |
12.5 |
Source: Bloomberg; FCF: Free cash Flow
*In Millions
Market cap & Last price are in their respective currencies
Company Description:
Maiden Holdings Ltd (NASDAQ: MHLD)
Maiden Holdings Ltd., through its subsidiaries, focuses on providing non-catastrophic, customized reinsurance products and services. The company offers its services to small and mid-size insurance companies in the United States and Europe.
Cash America International Inc (NYSE: CSH)
Cash America International, Inc., is a specialty financial services business that offers small loans to individuals through its storefront locations in the United States and Mexico. Through its e-commerce operations it offers a broad array of consumer loans in the United States as well as 3 foreign countries.
AmTrust Financial Services Inc (NASDAQ: AFSI)
AmTrust Financial Services, Inc. offers insurance coverage. The company offers property/casualty, workers’ compensation, special risk, and warranty insurance, and extended service plans. The company operates in the United States and the European Union, and reinsures risk worldwide.
Quad/Graphics Inc (NYSE: QUAD)
Quad Graphics, Inc. is a commercial printing company with image centers and photography studios nationwide and plants across the country.The company offers data and strategy services, graphic design, imaging solutions, print production, mailing and distribution services, and workflow solutions. Quad Graphics operates worldwide.
Hancock Holding Co (NASDAQ: HBHC)
Hancock Holding Company is a multi-bank holding company. The Banks are community oriented and focus on offering commercial loans, consumer loans, mortgage loans, deposit services, investment management, trust services, insurance, and cash management to individuals and businesses. Hancock operates through a network of offices in Mississippi, Louisiana, Alabama, and Florida.
Apollo Commercial Real Estate Finance Inc (NYSE: ARI)
Apollo Commercial Real Estate Finance, Inc. is a commercial real estate finance company. The company invests in, acquires and manages commercial real estate mortgage loans, commercial mortgage-backed securities, commercial real estate corporate debt and loans, and other real estate-related debt investments in the United States.
Artis Real Estate Investment Trust (TSX: AX-U)
Artis Real Estate Investment Trust is a real estate investment trust that acquires and maintains a portfolio of properties. The company’s initial focus is on retail and industrial commercial properties located in Western Canada.
Corus Entertainment Inc (TSX: CJR/B)
Corus Entertainment Inc. is a Canadian-based media and entertainment company. The company’s core business includes radio, specialty and pay television, as well as children’s publishing and animation, which is sold internationally.
j2 Global Inc (NASDAQ: JCOM)
j2 Global, Inc. provides cloud-based communications and storage messaging services. The company offers online fax, virtual voice, hosted email, email marketing, online backup and unified communications services.
Alaris Royalty Corp (TSX: AD)
Alaris Royalty Corporation is a private equity fund that invests in a diversified range of private companies around the world with a focus on North America.
