U.S. markets closed
  • S&P 500

    4,163.29
    -10.56 (-0.25%)
     
  • Dow 30

    34,327.79
    -54.34 (-0.16%)
     
  • Nasdaq

    13,379.05
    -50.93 (-0.38%)
     
  • Russell 2000

    2,227.12
    +2.49 (+0.11%)
     
  • Crude Oil

    66.39
    +1.02 (+1.56%)
     
  • Gold

    1,867.40
    +29.30 (+1.59%)
     
  • Silver

    28.33
    +0.96 (+3.51%)
     
  • EUR/USD

    1.2158
    +0.0012 (+0.10%)
     
  • 10-Yr Bond

    1.6400
    +0.0050 (+0.31%)
     
  • GBP/USD

    1.4136
    +0.0034 (+0.24%)
     
  • USD/JPY

    109.2100
    -0.1370 (-0.13%)
     
  • BTC-USD

    44,605.83
    +204.69 (+0.46%)
     
  • CMC Crypto 200

    1,240.98
    +43.06 (+3.59%)
     
  • FTSE 100

    7,032.85
    -10.76 (-0.15%)
     
  • Nikkei 225

    27,824.83
    -259.67 (-0.92%)
     

3 Low Forward Price-Earnings Ratio Stock Picks

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
GuruFocus.com
·3 min read
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

- By Alberto Abaterusso

Investors may want to consider the following securities as their forward price-earnings ratios are lower than the S&P 500's historical average of 15. The projections of future earnings are based on data from Morningstar analysts.

Archer-Daniels-Midland

The first stock that qualifies is Archer-Daniels-Midland Co. (NYSE:ADM), a Chicago-based multinational food processing and commodities trading company.


Archer-Daniels-Midland has a forward price-earnings ratio of 14.91 (versus the industry median of 21.12), which results from Wednesday's closing price of $57 per share and analyst expectations for net earnings per share of approximately $3.82 for the next full fiscal year.

The stock has risen 66% over the past year for a market capitalization of $31.83 billion and a 52-week range of $33.01 to $59.12.

3 Low Forward Price-Earnings Ratio Stock Picks
3 Low Forward Price-Earnings Ratio Stock Picks

GuruFocus has assigned a rating of 5 out of 10 for the company's financial strength and a rating of 6 out of 10 for its profitability.

Wall Street sell-side analysts recommend an overweight median rating with an average price target of $57.82 per share for the stock.

McKesson

The second stock that qualifies is McKesson Corp, (NYSE:MCK), an Irving, Texas-based supplier of medical treatments and equipment in the U.S. and internationally.

McKesson has a forward price-earnings ratio of 10.62 (versus the industry median of 15.2), which derives from Wednesday's closing price of $195.04 per share and analyst expectations for earnings of approximately $18.37 per share for the next full fiscal year.

The stock has risen 51% over the past year for a market capitalization of $31.04 billion and a 52-week range of $121.15 to $198.43.

3 Low Forward Price-Earnings Ratio Stock Picks
3 Low Forward Price-Earnings Ratio Stock Picks

GuruFocus has assigned a rating of 5 out of 10 for the company's financial strength and a rating of 7 out of 10 for its profitability.

Wall Street sell-side analysts recommend a median rating of buy with an average price target of $216.31 per share for this stock.

BioNTech

The third stock that qualifies is BioNTech SE (NASDAQ:BNTX), a Mainz, Germany-based biotechnology developer of immunotherapies for cancer and other infectious diseases.

BioNTech SE has a forward price-earnings ratio of 7 (versus the industry median of 24.24), which derives from Wednesday's closing price of $109.19 per share and analysts' expectations for earnings of approximately $15.60 for the next full fiscal year.

The stock has risen 92% over the past year for a market capitalization of $26.37 billion and a 52-week range of $37 to $131.

3 Low Forward Price-Earnings Ratio Stock Picks
3 Low Forward Price-Earnings Ratio Stock Picks

GuruFocus has assigned a rating of 6 out of 10 for the company's financial strength and a rating of 1 out of 10 for its profitability.

Wall Street sell-side analysts recommend a median rating of overweight with an average price target of $104.22 per share for the stock.

Disclosure: I have no positions in any securities mentioned.

Read more here:



Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.

This article first appeared on GuruFocus.