What Defines a Value Stock?
A value stock traditionally has a lower price when compared to stock prices of companies in the same industry. This indicates that the company may be undervalued, as investors are not expressing as much interest in such companies. The most commonly used way to check for value is with the price-to-earnings multiple, or P/E. A low P/E multiple is a good indication that the stock is undervalued.
The following stocks are considered to be notable value stocks in the technology sector:
- United Microelectronics (NYSE:UMC) - P/E: 7.79
- Trio-Tech Intl (AMEX:TRT) - P/E: 9.27
- Arrow Electronics (NYSE:ARW) - P/E: 6.09
- Marketwise (NASDAQ:MKTW) - P/E: 4.07
- Velo3D (NYSE:VLD) - P/E: 7.64
This quarter, United Microelectronics experienced a decrease in earnings per share, which was $0.25 in Q4 and is now $0.21. Its most recent dividend yield is at 2.28%, which has decreased by 3.06% from 5.34% in the previous quarter.
Trio-Tech Intl's earnings per share for Q3 sits at $0.0, whereas in Q2, they were at 0.12. Arrow Electronics has reported Q1 earnings per share at $4.6, which has decreased by 19.16% compared to Q4, which was 5.69. Marketwise saw an increase in earnings per share from 0.01 in Q4 to $0.05 now. Most recently, Velo3D reported earnings per share at $-0.09, whereas in Q4 earnings per share sat at $-0.08.
These 5 value stocks were selected by Benzinga Insights based on quantified analysis. While this methodical judgment process is not meant to make final decisions, our technology can give investors additional perception into the sector.