5 Stocks Trading Below the Peter Lynch Value
According to the GuruFocus All-in-One Screener, a Premium feature, several gurus are focusing on stocks whose Peter Lynch fair values are above their current prices. As of March 10, the following companies are also trading with wide margins of safety and have had positive performances over the past 12 months.
Smith Micro Software
Smith Micro Software Inc. (NASDAQ:SMSI) was trading around $5.51 per share as of March 10. The Peter Lynch fair value is $7.12, which suggests it is undervalued with a 23% margin of safety. The stock registered a positive three-month performance of 15.45%.
The provider of software solutions has a market cap of $212 million and an enterprise value of $190 million.
The stock is trading with a price-earnings ratio of 19.68. The share price is currently 22.94% below its 52-week high and 206% above its 52-week low. The price-book ratio is 4.74.
Jim Simons (Trades, Portfolio)' Renaissance Technologies is the company's largest guru shareholder with 0.6% of outstanding shares.
Cabot Oil & Gas
Cabot Oil & Gas Corp. (NYSE:COG) was trading around $16.42 per share as of Tuesday. The Peter Lynch fair value is $40.75, which suggests it is undervalued with a 60% margin of safety. Over the past three months, the stock has risen 5.46%.
The oil and gas exploration and production company has a market cap of $6.34 billion and an enterprise value of $7.39 billion.
The stock is trading with a price-earnings ratio of 10.01, which is lower than 52% of companies in the oil and gas industry. The share price is currently 40.61% below its 52-week high and 25.73% above its 52-week low.
The company's largest guru shareholder is PRIMECAP Management (Trades, Portfolio) with 1.24% of outstanding shares, followed by Chris Davis (Trades, Portfolio) with 0.25% and George Soros (Trades, Portfolio) with 0.19%.
Ameresco
Ameresco Inc. (NYSE:AMRC) was trading around $19.77 per share as of March 10. The Peter Lynch fair value gives the stock a fair price of $23.25, which suggests it is undervalued with a 15% margin of safety. Over the past three months, the stock has risen 26.57%.
The provider of energy efficiency solutions has a market cap of $945 million and an enterprise value of $1.28 billion.
The stock is trading with a price-earnings ratio of 21.44, which is lower than 78% of companies in the construction industry. The share price is currently 24.51% below its 52-week high and 50.8% above its 52-week low.