If you have a contrarian frame-of-mind, then price/earnings ratios of much less than 100 and a balance sheet of more equity than debt might be of interest, as outrageous and dated as it sounds.
There’s not too much interest in value stocks right now as growth stocks continue to have more than just a day in the sun. If you have a contrarian frame-of-mind, then price/earnings ratios of much less than 100 and a balance sheet of more equity than debt might be of interest, as outrageous and dated as it sounds. It’s impossible to say when this extraordinary growth cycle finally comes to an end. Typically, something unexpected triggers a change and what was hot can suddenly become ice cold. The value investor ignores that cycle and sticks with the old school view that a low p/e and a positive balance sheet might be starting points. Each of these 4 stocks have that value stock look and feel. Each pay a dividend yield greater than the one you might receive from the United States Treasury’s 30 year bond. Naturally, there is more risk in a stock’s dividend than in the yield of a government instrument. Typically, anyway. Cathay General Bancorp CATY is NASDAQ NDAQ -traded, based in Los Angeles with operations in several states and in Hong Kong. With a price/earnings ratio of 8.2 while the Standard & Poor’s Schiller p/e is 31, this bank looks to be a fit for value stock status.
