5 Value Stocks In The Energy Sector

Author: Benzinga Insights | August 03, 2023 10:39am

What Defines a Value Stock?

A value stock is traditionally defined in terms of how investors in the marketplace are valuing that company's future growth prospects. Low P/E multiples are good base indicators that the company is undervalued and can most likely be labelled as a value stock.

The following stocks are considered to be notable value stocks in the energy sector:

1. Dorchester Minerals (NASDAQ:DMLP) - P/E: 9.2
2. Chord Energy (NASDAQ:CHRD) - P/E: 2.95
3. Amplify Energy (NYSE:AMPY) - P/E: 0.64
4. Tenaris (NYSE:TS) - P/E: 6.13
5. Scorpio Tankers (NYSE:STNG) - P/E: 3.24

Dorchester Minerals has been featured as a value stock. Dorchester Minerals's Q1 EPS sits at $0.71, which has not changed since last quarter (Q4). The company's most recent dividend yield sits at 8.32%, which has decreased by 5.35% from 13.67% last quarter.

Chord Energy saw a decrease in earnings per share from 4.49 in Q1 to $3.65 now. Amplify Energy's earnings per share for Q1 sits at $0.21, whereas in Q4, they were at 0.74. The company's most recent dividend yield sits at 9.62%, which has decreased by 0.89% from 10.51% last quarter.

This quarter, Tenaris experienced a decrease in earnings per share, which was $1.91 in Q1 and is now $1.9. Most recently, the company reported a dividend yield of 2.2%, which has decreased by 1.51% from last quarter's yield of 3.71%.

Scorpio Tankers saw a decrease in earnings per share from 3.31 in Q1 to $2.41 now. Most recently, the company reported a dividend yield of 2.13%, which has increased by 0.22% from last quarter's yield of 1.91%.

The Significance: A value stock may need some time to rebound from its undervalued position. The risk of investing in a value stock is that this emergence may never materialize.

Posted In: AMPY CHRD DMLP STNG TS