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6 Stocks Trading With Low Price-Sales Ratios

According to the GuruFocus All-In-One Screener as of Wednesday, the following companies look cheap since they are trading with low price-sales ratios.

The Toronto-Dominion Bank (NYSE:TD) is trading around $56.20 per share with a price-sales ratio of 3.36 and a price-earnings ratio of 11.81.

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The Canadian bank has a market cap of $103.13 billion. The stock has risen at an annualized rate of 25.96% over the past decade.

The discounted cash flow calculator gives the stock a fair value of $76.08, suggesting it is undervalued with a 13% margin of safety. The Peter Lynch value gives the stock a fair price of $71.7.

The company's largest guru shareholder is Jim Simons (Trades, Portfolio)' Renaissance Technologies with 0.28% of outstanding shares, followed by Jeremy Grantham (Trades, Portfolio) with 0.10% and Pioneer Investments (Trades, Portfolio) with 0.05%.

United Parcel Service Inc. (NYSE:UPS) is trading around $119 per share with a price-sales ratio of 1.4 and a price-earnings ratio of 21.29.

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The package delivery company has a market cap of $100 billion. The stock has risen at an annualized rate of 9.59% over the last 10 years.

The DCF calculator gives the stock a fair value of $75.63, suggesting it is overpriced by 54%. The Peter Lynch value gives the stock a fair price of $82.05.

With 0.53% of outstanding shares, Bill Gates (Trades, Portfolio)' foundation trust is the company's largest guru shareholder, followed by PRIMECAP Management (Trades, Portfolio) with 0.42% and Pioneer Investments with 0.40%.

Danaher Corp. (NYSE:DHR) is trading around $138 with a price-sales ratio of 4.9 and a price-earnings ratio of 40.35.

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The company, which manufactures medical instruments, has a market cap of $99.13 billion. The stock has risen at an annualized rate of 18.23% over the past decade.

The DCF calculator gives the company a fair value of $37.91, suggesting it is overpriced by 262%. The Peter Lynch value gives the stock a fair price of $51.15.

The company's largest guru shareholder is Dodge & Cox with 0.65% of outstanding shares, followed by the Vanguard Health Care Fund (Trades, Portfolio) with 0.60%, Daniel Loeb (Trades, Portfolio) with 0.53% and Pioneer Investments with 0.40%.

American Express Co. (NYSE:AXP) is trading around $118 with a price-sales ratio of 3.35 and a price-earnings ratio of 14.57.

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The company, which operates in the credit services industry, has a market cap of $97.56 billion. The stock has risen at an annualized rate of 13.70% over the last 10 years.

The DCF calculator gives the company a fair value of $121.38, suggesting it is undervalued with a 3.12% margin of safety. The Peter Lynch value gives the stock a fair price of $121.05.

With 17.66% of outstanding shares, Warren Buffett (Trades, Portfolio) is the company's largest guru shareholder, followed by Dodge & Cox with 2.23%, Ken Fisher (Trades, Portfolio) with 1.37% and Barrow, Hanley, Mewhinney & Strauss with 1.18%.

Qualcomm Inc. (NASDAQ:QCOM) is trading around $78 with a price-sales ratio of 3.88 and a price-earnings ratio of 27.60.

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The company, which provides wireless technology, has a market cap of $94.60 billion. The stock has risen at an annualized rate of 8.26% over the past decade.

The DCF calculator gives the company a fair value of $30.18, suggesting it is overpriced by 157%. The Peter Lynch value gives the stock a fair price of $42.3.

The company's largest guru shareholder is PRIMECAP Management with 2.30% of outstanding shares, followed by Barrow, Hanley, Mewhinney & Strauss with 1.53% and the T Rowe Price Equity Income Fund (Trades, Portfolio) with 0.51%.

3M Co. (NYSE:MMM) is trading around $164 with a price-sales ratio of 3.0 and a price-earnings ratio of 19.68.

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The company, which provides a diverse array of industrial and consumer products, has a market cap of $93.76 billion. The stock has risen at an annualized rate of 10.0% over the last 10 years.

The DCF calculator gives the company a fair value of $98.1, suggesting it is overpriced by 66%. The Peter Lynch value gives the stock a fair price of $124.2.

With 0.68% of outstanding shares, First Eagle Investment (Trades, Portfolio) is the company's largest guru shareholder, followed by Mairs and Power (Trades, Portfolio) with 0.33%, Grantham with 0.29% and Pioneer Investments with 0.11%.

Disclosure: I do not own any stocks mentioned.

Read more here:

  • 5 Stocks Trading at 52-Week Highs
  • 6 Guru Stocks Underperforming the Market
  • 6 Cheap Stocks Boosting Earnings



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This article first appeared on GuruFocus.