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6 Companies With Expanding Earnings

According to the GuruFocus All-in-One Screener, a Premium feature, as of Jan. 23, the following guru-held companies are trading at a discount and have positive three- to five-year future earnings estimates.


Concho Resources

Shares of Concho Resources Inc. (NYSE:CXO) were trading around $85 on Jan.23.

The independent oil and natural gas company has a GuruFocus profitability rating of 6 out of 10.

Analysts project a three-year to five-year earnings growth rate of 4.21%. The return on equity of 6.97% and return on assets of 4.95% are outperforming 65% of companies in the oil and gas industry.

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With 5.28% of outstanding shares, Dodge & Cox is the company's largest guru shareholder, followed by Bill Nygren (Trades, Portfolio) with 1.14% and Steven Cohen (Trades, Portfolio) with 0.27%.

Equity Residential

On Jan. 23, Equity Residential (NYSE:EQR) was trading around $83.3 per share.

With a market cap of $30.93 billion, the real estate investment trust, which manages institutional-quality multifamily properties, has a GuruFocus profitability rating of 7 out of 10.

Analysts project a three-year to five-year earnings growth rate of 11.87%. The return on equity of 7.82% and return on assets of 3.84% are outperforming 59% of companies in the REITs industry.

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The T Rowe Price Equity Income Fund (Trades, Portfolio) is the company's largest guru shareholder with 0.64% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.15%, Chris Davis (Trades, Portfolio) with 0.06% and Joel Greenblatt (Trades, Portfolio) with 0.01%.

T. Rowe Price Group

T. Rowe Price Group Inc. (NASDAQ:TROW) was trading around $132 per share as of Jan.23

With a market cap of $30.92 billion, the asset management company has a GuruFocus profitability rating of 9 out of 10. Its earnings per share have climbed 12% over the past five years.

Analysts project a three-year to five-year earnings growth rate of 5.12%. As of Jan.23, the return on equity of 29.89% and return on assets of 22.54% are outperforming 91% of companies in the asset management industry.

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With 0.26% of outstanding shares, Pioneer Investments is the company's largest guru shareholder, followed by Ron Baron (Trades, Portfolio) with 0.15%, Tom Gayner (Trades, Portfolio) with 0.13% and Mario Gabelli (Trades, Portfolio) with 0.05%.

Royal Caribbean Cruises

Royal Caribbean Cruises Ltd. (NYSE:RCL) was trading around $129 per share as of Jan.23.

The cruise line has a market cap of $27.18 billion and a GuruFocus profitability rating of 7 out of 10. Its earnings per share have climbed 32.90% over the past five years.

Analysts project a three-year to five-year earnings growth rate of 10.48%. The return on equity of 16.79% and return on assets of 6.71% are outperforming 77% of companies in the travel and leisure industry.

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With 4.52% of outstanding shares, PRIMECAP Management (Trades, Portfolio) is the company's largest guru shareholder, followed by Barrow, Hanley, Mewhinney & Strauss with 0.96%, Simons' firm with 0.60% and John Rogers (Trades, Portfolio) with 0.32%.

Centene

Centene Corp. (NYSE:CNC) was trading around $67 per share as of Jan.23.

With a market cap of $27.10 billion, the health care plans provider has a GuruFocus profitability rating of 8 out of 10. Its earnings per share have risen 26.20% over the last five years.

Analysts project a three-year to five-year earnings growth rate of 15%. The return on equity of 11.75% and return on assets of 4.12% are underperforming 66% of companies in the health care plans industry.

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With 3.56% of outstanding shares, Andreas Halvorsen (Trades, Portfolio) is the company's largest guru shareholder, followed by Lee Ainslie (Trades, Portfolio) with 2.09%, the Vanguard Health Care Fund (Trades, Portfolio) with 1.32% and Daniel Loeb (Trades, Portfolio) with 0.69%.

Halliburton

Halliburton Co. (NYSE:HAL) was trading around $23.77 per share as of Jan. 23.

The oilfield services company has a market cap of $20.87 billion and a GuruFocus profitability rating of 6 out of 10.

Analysts project a three-year to five-year earnings growth rate of 6.02%. The return on equity of -12.52% and return on assets of -4.48% are outperforming 74% of companies in the oil and gas industry.

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With 5.20% of outstanding shares, Dodge & Cox is the company's largest guru shareholder, followed by Richard Pzena (Trades, Portfolio) with 3.04%, Sarah Ketterer (Trades, Portfolio) with 1.21% and Bill Nygren (Trades, Portfolio) with 0.66%.

Disclosure: I do not own any stocks mentioned.

Read more here:

  • 6 Stocks With Low Price-Earnings Ratios
  • 6 Guru Stocks Trading Below Peter Lynch Value
  • 5 Guru Stocks Outperforming the Market



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This article first appeared on GuruFocus.