Attractive Stocks Under $35 - S&P 500 Including Bristol-Myers Squibb (BMY), Harris Corp (HRS)
Fidelity has a fund called the Low Priced Stock fund that only contains stocks with a price of below $35 a share which has been successful in the past. Following a similar strategy ValueExpectations.com has published 2 articles containing attractive stocks under $35 as a starting place for investor’s looking for potential investment opportunities. The first low priced stock strategy blog outpaced the S&P 500 by over 58% since release in February the second article released in June has slightly underperformed the S&P 500 by -1.26%. Since this strategy has been well received by VE readers we decided to provide a new list of attractive stocks using the same strategy. Below is a list of S&P500 stocks that are currently trading under $35 a share that have passed through AFG’s investment criteria which looks for companies ranked in the top half of their sector in valuation, economic performance, management quality and earnings quality. All of the companies listed scored well in all of the required variables for AFG to deem a company attractive and backtests will show that all of these variables deliver a significant spread in performance between those that AFG sees as unattractive vs. those that look attractive from an AFG standpoint. To analyze your holdings using AFG’s research process click here.
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AFG |
Rank within Sector |
| Ticker |
Name |
Sector |
Investment Opportunity |
Valuation Signal |
EM Change Signal |
| |
| (NYSE: BMY) |
BRISTOL-MYERS SQUIBB CO |
Health |
Attractive |
Attractive |
Positive |
| (NYSE: HRS) |
HARRIS CORP |
Technology |
Attractive |
Attractive |
Positive |
| (NYSE: AEP) |
AMERICAN ELECTRIC POWER |
Utilities |
Attractive |
Attractive |
Positive |
| (NYSE: VZ) |
VERIZON COMMUNICATIONS |
Technology |
Attractive |
Attractive |
Positive |
| (NASDAQ:ERTS) |
ELECTRONIC ARTS INC |
Technology |
Attractive |
Attractive |
Positive |
| (NYSE:STZ) |
CONSTELLATION BRANDS INC |
Consumer Non Durable |
Attractive |
Attractive |
Positive |
| (NYSE:BSX) |
BOSTON SCIENTIFIC CORP |
Health |
Attractive |
Attractive |
Positive |
| (NYSE:SEE) |
SEALED AIR CORP |
Basic Material |
Attractive |
Attractive |
Positive |
| (NYSE:CAG) |
CONAGRA FOODS |
Consumer Non Durable |
Attractive |
Attractive |
Positive |
| (NYSE:BIG) |
BIG LOTS INC |
Consumer Services |
Attractive |
Attractive |
Positive |
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AFG's Valuation Metric – Measures the percent to target (deviation between a stock’s current trading price and its AFG current default target price). To derive the intrinsic value of a firm, AFG uses its proprietary Valuation Model (modified discounted cash flow model).
Economic Margin - A corporate performance measurement that addresses the gaps in GAAP, eliminating distortions caused by accounting policies to measure what a company is truly earning above or below their cost of capital.
Management Quality – Assesses management’s ability to make wealth creating decisions.
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