3 Undervalued Basic Materials Small Caps With Analyst Love

Interested in basic materials stocks? Looking for undervalued stocks? Do you prefer stocks that analysts rate as 'Buy', or better? For a closer look at stocks of this nature, we ran a screen.The Price/Cash Flow ratio is a price-multiple valuation metric that also measures a firm's future financial health. An advantage of using cash flow is that it removes non-cash factors, which helps provide a clearer picture of how much money the firm is taking in from a valuation standpoint. Price/Cash Flow Ratio = Current Stock Price/Cash Flow Per ShareThe Price/Book Value Ratio is a great price-multiple valuation metric to find companies that could be potentially undervalued or overvalued. If a firm has a Price/Book Value Ratio of less than 1 it is stated to be trading below "break up" value. A lower P/BV Ratio can indicate a potentially mispriced company or indicate that something is fundamentally wrong
... Read the rest at SeekingAlpha.com