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5 Value Stocks In The Energy Sector

Author: Benzinga Insights | October 12, 2023 10:39am

What are Value Stocks?

A value stock traditionally has a lower price when compared to stock prices of companies in the same industry. This indicates that the company may be undervalued, as investors are not expressing as much interest in such companies. The most commonly used way to check for value is with the price-to-earnings multiple, or P/E. A low P/E multiple is a good indication that the stock is undervalued.

Benzinga Insights has compiled a list of value stocks in the energy sector that may be worth watching:

  1. Ranger Energy Services (NYSE:RNGR) - P/E: 9.64
  2. Granite Ridge Resources (NYSE:GRNT) - P/E: 4.45
  3. PBF Energy (NYSE:PBF) - P/E: 1.99
  4. W&T Offshore (NYSE:WTI) - P/E: 4.79
  5. San Juan Basin Royalty (NYSE:SJT) - P/E: 3.69

Ranger Energy Services's earnings per share for Q2 sits at $0.24, whereas in Q1, they were at 0.25. Granite Ridge Resources has reported Q2 earnings per share at $0.19, which has decreased by 9.52% compared to Q1, which was 0.21. Most recently, the company reported a dividend yield of 5.64%, which has decreased by 2.65% from last quarter's yield of 8.29%.

Most recently, PBF Energy reported earnings per share at $2.29, whereas in Q1 earnings per share sat at $2.76. The company's most recent dividend yield sits at 1.69%, which has decreased by 0.86% from 2.55% last quarter.

This quarter, W&T Offshore experienced a decrease in earnings per share, which was $-0.02 in Q1 and is now $-0.08. Most recently, San Juan Basin Royalty reported earnings per share at $0.17, whereas in Q1 earnings per share sat at $0.77. Most recently, the company reported a dividend yield of 9.45%, which has increased by 5.87% from last quarter's yield of 3.58%.

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: GRNT PBF RNGR SJT WTI

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