There are several undervalued stocks that should increase more than the average. For example:
1. In the technology area. As the price of chips continues to drop (thanks to the Asian Flu and chip dumping in the USA) SMOD should benefit. They make such products as Flashcards boards which are memory boards for digital cameras and computers. Also, a new plant opening in Puerto Rico (which has favorable tax laws for companies) is a very bullish sign for future business and increased earnings. biz.yahoo.com
Also, SMOD just signed a deal with HP for some testing equipment that should enhance SMOD products and market. biz.yahoo.com
SMART MODULAR - NASDAQ: (SMOD : $27 23/32) $1,106 million Market Cap at January 23, 1998. Trades at a 47% Discount PE Multiple of 10.0 X, vs. the 18.8 X average multiple at which the Semiconductors SubIndustry is priced.
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2. In the retail business: Month after month of same store increases and ROST is still a bargain and a CC workhorse. biz.yahoo.com
NASDAQ: (ROST : $34 1/8)
$1,662 million Market Cap at January 23, 1998. Ranks 635th in the Fortune 1,000 on Revenue & 619th on Profit. Employs 14,855. Trades at a 39% Discount PE Multiple of 14.7 X, vs. the 24.1 X average multiple at which the Discount & Variety Stores SubIndustry is priced.
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3. In the Asian Flu bottom fishing arena. SKM looks like a low risk relative to the rewards in 1998. NYSE: (SKM : $7 3/8) $3,942 million Market Cap at January 23, 1998. Trades at a 36% Discount PE Multiple of 16.8 X, vs. the 26.4 X average multiple at which the Cellular & Telephone Services SubIndustry is priced.
SKM really seems to "bring home the beacon" when it counts! biz.yahoo.com
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4. "Baby you can drive my car" in 1998 even if it's UGLY. With the very high price of new cars and the ripoff car lease contracts that you have to be a MBA to figure out HOW MUCH you are getting shafted, I'm floored by the price drop in UGLY! In Florida, if your car has four wheels, two headlights, and the motor runs your car is easily worth $1,500 no matter how many miles on it. Well, stocks with P/Es under 10 are worth every penny and more. Come on!!!!! A P/E of 8.3?
What are you waiting for readers?
NASDAQ: (UGLY : $7 13/16) $65 million Market Cap at January 23, 1998
Trades at a 53% Discount PE Multiple of 8.3 X, vs. the 17.7 X average multiple at which the Car Rental & Sales SubIndustry is priced.
Taking care of business. It's time you get even with those used car salesman. Own a piece of the rock. biz.yahoo.com |
