Last night I was at the Towson University International Markets Summit. I’m grateful to the students for inviting me, as it is an honor. During the presentation, I mentioned the book “Accounting for Value” by Stephen Penman. I reviewed the book two years ago. A great book, and one that should lead readers to modify their views on value investing.
But one aspect of the book was easy to implement, he cited his paper that you can read here, Returns to Buying Earnings and Book Value: Accounting for Growth and Risk. Buy the stocks that are the cheapest as measured by the highest quintiles of book value to price, and trailing twelve month earnings per share to price.
I ran this analysis for all US-traded stocks with over $100 million of market capitalization. Here are the results:
Company
Ticker
Industry
Country
B/P
E/P
Petrobras Argentina SA ADR
PZE
0606 – Oil & Gas – Integrated
Argentina
1.26
7.95
Pampa Energia S.A. (ADR)
PAM
1203 – Electric Utilities
Argentina
0.83
11.41
OMV AG (ADR)
OMVKY
0609 – Oil & Gas Operations
Austria
1.13
11.33
Validus Holdings, Ltd.
VR
0709 – Insurance (Life)
Bermuda
1
13.3
Everest Re Group Ltd
RE
0715 – Insurance (Property & Casualty)
Bermuda
0.88
15.35
Maiden Holdings, Ltd.
MHLD
0715 – Insurance (Property & Casualty)
Bermuda
0.93
10.11
Montpelier Re Holdings Ltd.
MRH
0715 – Insurance (Property & Casualty)
Bermuda
0.99
11.83
Axis Capital Holdings Limited
AXS
0715 – Insurance (Property & Casualty)
Bermuda
1.01
13.2
Platinum Underwriters Holdings
PTP
0715 – Insurance (Property & Casualty)
Bermuda
1.02
11.25
White Mountains Insurance Grou
WTM
0715 – Insurance (Property & Casualty)
Bermuda
1.07
8.49
Aspen Insurance Holdings Limit
AHL
0715 – Insurance (Property & Casualty)
Bermuda
1.12
9.61
Assured Guaranty Ltd.
AGO
0715 – Insurance (Property & Casualty)
Bermuda
1.18
18.59
Partnerre Ltd
PRE
0715 – Insurance (Property & Casualty)
Bermuda
1.23
10.75
Argo Group International Holdi
AGII
0715 – Insurance (Property & Casualty)
Bermuda
1.27
11.55
Endurance Specialty Holdings L
ENH
0715 – Insurance (Property & Casualty)
Bermuda
1.31
12.55
Gerdau SA (ADR)
GGB
0121 – Iron & Steel
Brazil
1.32
6.84
Gafisa SA (ADR)
GFA
0215 – Construction Services
Brazil
2.04
15.52
Petroleo Brasileiro Petrobras
PBR
0606 – Oil & Gas – Integrated
Brazil
1.67
13.2
Telefonica Brasil SA (ADR)
VIV
0915 – Communications Services
Brazil
0.85
7.58
Companhia de Saneamento Basico
SBS
1209 – Water Utilities
Brazil
0.89
8.57
Endeavour Silver Corp
EXK
0118 – Gold & Silver
Canada
0.89
9.9
Teck Resources Ltd (USA)
TCK
0124 – Metal Mining
Canada
1.33
6.84
TransGlobe Energy Corporation
TGA
0609 – Oil & Gas Operations
Canada
0.85
10.03
Granite Real Estate Investment
GRP.U
0933 – Real Estate Operations
Canada
0.87
7.53
Brookfield Office Properties I
BPO
0933 – Real Estate Operations
Canada
1.08
10.08
Boardwalk REIT (USA)
BOWFF
0933 – Real Estate Operations
Canada
1.14
11.54
Greenlight Capital Re, Ltd.
GLRE
0715 – Insurance (Property & Casualty)
Cayman Islands
0.9
19.45
Sinopec Shanghai Petrochemical
SHI
0103 – Chemical Manufacturing
China
1.52
11
Yongye International, Inc
YONG
0103 – Chemical Manufacturing
China
1.65
43.36
China XD Plastics Co Ltd
CXDC
0109 – Containters & Packaging
China
1.13
22.71
Lihua International Inc
LIWA
0127 – Misc. Fabricated Products
China
2.31
41.21
Xinyuan Real Estate Co., Ltd.
XIN
0215 – Construction Services
China
5.22
42.83
China Automotive Systems, Inc.
CAAS
0415 – Auto & Truck Parts
China
0.99
11.04
China Petroleum & Chemical Cor
SNP
0609 – Oil & Gas Operations
China
0.87
10.11
Concord Medical Services Hldg
CCM
0806 – Healthcare Facilities
China
3.06
12.45
China Telecom Corporation Limi
CHA
0915 – Communications Services
China
1.17
7.03
Xueda Education Group (ADR)
XUE
0969 – Schools
China
0.84
6.63
Changyou.Com Ltd (ADR)
CYOU
1018 – Computer Services
China
1.23
20.92
Nam Tai Electronics, Inc.
NTE
1024 – Electronic Instruments & Controls
China
1.11
21.58
Jinpan International Limited
JST
1024 – Electronic Instruments & Controls
China
1.7
13.36
Semiconductor Manufacturing In
SMI
1033 – Semiconductors
China
0.96
8.06
China Eastern Airlines Corp. L
CEA
1106 – Airline
China
1.05
12.11
China Southern Airlines Co Ltd
ZNH
1106 – Airline
China
1.7
13.19
Guangshen Railway Co. Ltd (ADR
GSH
1112 – Railroads
China
1.34
6.64
Axa SA (ADR)
AXAHY
0709 – Insurance (Life)
France
1.19
9.46
Volkswagen AG (ADR)
VLKAY
0412 – Auto & Truck Manufacturers
Germany
0.94
9.73
Allianz SE (ADR)
AZSEY
0715 – Insurance (Property & Casualty)
Germany
0.92
11.08
E.ON SE (ADR)
EONGY
1203 – Electric Utilities
Germany
1.28
8.17
National Bank of Greece (ADR)
NBG
0727 – Regional Banks
Greece
2
131.03
Capital Product Partners L.P.
CPLP
1118 – Water Transportation
Greece
0.83
10.36
Safe Bulkers, Inc.
SB
1118 – Water Transportation
Greece
0.83
11.99
StealthGas Inc.
GASS
1118 – Water Transportation
Greece
1.32
9.08
Navios Maritime Holdings Inc.
NM
1118 – Water Transportation
Greece
1.32
13.4
Sun Hung Kai Properties Limite
SUHJY
0215 – Construction Services
Hong Kong
1.44
15.22
Hysan Development Company Limi
HYSNY
0215 – Construction Services
Hong Kong
1.66
20.18
Tai Cheung Holdings Ltd (ADR)
TAICY
0215 – Construction Services
Hong Kong
2.11
34.38
Le Gaga Holdings Ltd ADR
GAGA
0509 – Crops
Hong Kong
1.55
14.63
Bank of East Asia Ltd. (ADR),
BKEAY
0727 – Regional Banks
Hong Kong
0.85
8.78
Iao Kun Group Holding Co Ltd
IKGH
0912 – Casinos & Gaming
Hong Kong
1.36
12.89
Cheung Kong (Holdings) Limited
CHEUY
0933 – Real Estate Operations
Hong Kong
1.16
11.07
Seaspan Corporation
SSW
1118 – Water Transportation
Hong Kong
1.05
15.2
Magyar Telekom Tavkozlesi Nyrt
MYTAY
0915 – Communications Services
Hungary
1.34
6.66
XL Group plc
XL
0715 – Insurance (Property & Casualty)
Ireland
1.12
11.72
Fly Leasing Ltd(ADR)
FLY
0939 – Rental & Leasing
Ireland
1.3
17.39
Ellomay Capital Ltd.
ELLO
1033 – Semiconductors
Israel
0.93
10.95
FUJIFILM Holdings Corp. (ADR)
FUJIY
0112 – Fabricated Plastic & Rubber
Japan
1.55
6.64
Kobe Steel, Ltd. (ADR)
KBSTY
0121 – Iron & Steel
Japan
1.47
14.7
Mitsui & Co Ltd (ADR)
MITSY
0218 – Misc. Capital Goods
Japan
1.33
13.26
Wacoal Holdings Corporation (A
WACLY
0403 – Apparel/Accessories
Japan
1.45
7.14
Toyota Motor Corp (ADR)
TM
0412 – Auto & Truck Manufacturers
Japan
0.82
10.5
Honda Motor Co Ltd (ADR)
HMC
0412 – Auto & Truck Manufacturers
Japan
0.92
7.61
Nissan Motor Co., Ltd. (ADR)
NSANY
0412 – Auto & Truck Manufacturers
Japan
1.11
10.04
Nomura Holdings, Inc. (ADR)
NMR
0718 – Investment Services
Japan
1.09
10.18
Mizuho Financial Group Inc. (A
MFG
0727 – Regional Banks
Japan
1.13
14.9
Sumitomo Mitsui Financial Grp,
SMFG
0727 – Regional Banks
Japan
1.28
16.67
Mitsubishi UFJ Financial Group
MTU
0727 – Regional Banks
Japan
1.53
13.67
Nippon Telegraph & Telephone C
NTT
0915 – Communications Services
Japan
1.39
8.93
ORIX Corporation (ADR)
IX
0939 – Rental & Leasing
Japan
0.98
7.59
Ternium S.A. (ADR)
TX
0121 – Iron & Steel
Luxembourg
0.89
7.61
ING Groep NV (ADR)
ING
0709 – Insurance (Life)
Netherlands
1.14
9.46
VimpelCom Ltd (ADR)
VIP
0915 – Communications Services
Netherlands
0.93
13.67
ASM International NV (ADR)
ASMI
1033 – Semiconductors
Netherlands
1.01
74.95
Petroleum Geo-Services ASA (AD
PGSVY
0612 – Oil Well Services & Equipment
Norway
0.81
9.85
Banco Latinoamericano Comerc E
BLX
0727 – Regional Banks
Panama
0.85
8.39
Compania de Minas Buenaventura
BVN
0118 – Gold & Silver
Peru
1.18
10.05
OFG Bancorp
OFG
0727 – Regional Banks
Puerto Rico
0.93
11.04
Popular Inc
BPOP
0727 – Regional Banks
Puerto Rico
1.52
19.77
Triple-S Management Corp.
GTS
0806 – Healthcare Facilities
Puerto Rico
1.79
12.52
LUKOIL (ADR)
LUKOY
0606 – Oil & Gas – Integrated
Russian Federation
1.91
19.08
China Yuchai International Lim
CYD
0218 – Misc. Capital Goods
Singapore
1.2
15.34
Net 1 UEPS Technologies Inc
UEPS
0703 – Consumer Financial Services
South Africa
0.91
6.79
POSCO (ADR)
PKX
0121 – Iron & Steel
South Korea
1.72
6.97
Shinhan Financial Group Co., L
SHG
0727 – Regional Banks
South Korea
1.24
8.42
Woori Finance Holdings Co., Lt
WF
0727 – Regional Banks
South Korea
1.91
9.86
SK Telecom Co., Ltd. (ADR)
SKM
0915 – Communications Services
South Korea
0.89
11.87
Repsol SA (ADR)
REPYY
0606 – Oil & Gas – Integrated
Spain
1.06
7.93
Transocean LTD
RIG
0612 – Oil Well Services & Equipment
Switzerland
1.14
9.54
ACE Limited
ACE
0715 – Insurance (Property & Casualty)
Switzerland
0.84
10.92
Allied World Assurance Co Hold
AWH
0715 – Insurance (Property & Casualty)
Switzerland
1
11.73
United Microelectronics Corp (
UMC
1033 – Semiconductors
Taiwan
1.3
8.02
Silicon Motion Technology Corp
SIMO
1033 – Semiconductors
Taiwan
1.96
19.74
BP plc (ADR)
BP
0606 – Oil & Gas – Integrated
United Kingdom
0.85
15.1
Noble Corporation PLC
NE
0612 – Oil Well Services & Equipment
United Kingdom
1.08
10.05
Subsea 7 SA (ADR)
SUBCY
0612 – Oil Well Services & Equipment
United Kingdom
1.09
7.02
ENSCO PLC
ESV
0612 – Oil Well Services & Equipment
United Kingdom
1.11
12.2
Rowan Companies PLC
RDC
0612 – Oil Well Services & Equipment
United Kingdom
1.3
6.71
HSBC Holdings plc (ADR)
HSBC
0727 – Regional Banks
United Kingdom
0.94
8.09
Vodafone Group Plc (ADR)
VOD
0915 – Communications Services
United Kingdom
1.47
31.68
J Sainsbury plc (ADR)
JSAIY
0957 – Retail (Grocery)
United Kingdom
0.96
10.57
Global Ship Lease, Inc.
GSL
1118 – Water Transportation
United Kingdom
2.11
16.62
Cliffs Natural Resources Inc
CLF
0124 – Metal Mining
United States
1.87
12.76
M.D.C. Holdings, Inc.
MDC
0215 – Construction Services
United States
0.91
23.28
M/I Homes Inc
MHO
0215 – Construction Services
United States
0.92
27.21
URS Corp
URS
0215 – Construction Services
United States
1.16
7.02
Mestek, Inc.
MCCK
0218 – Misc. Capital Goods
United States
0.98
11.53
General Motors Company
GM
0412 – Auto & Truck Manufacturers
United States
0.83
7.98
Rocky Brands Inc
RCKY
0418 – Footwear
United States
1.21
6.82
Johnson Outdoors Inc.
JOUT
0430 – Recreational Products
United States
0.87
7.83
LeapFrog Enterprises, Inc.
LF
0430 – Recreational Products
United States
0.89
17.58
Yasheng Group
HERB
0509 – Crops
United States
11.77
70.4
Seaboard Corporation
SEB
0515 – Food Processing
United States
0.82
6.77
John B. Sanfilippo & Son, Inc.
JBSS
0515 – Food Processing
United States
0.84
8.55
Omega Protein Corporation
OME
0515 – Food Processing
United States
1.01
12.24
Ennis, Inc.
EBF
0518 – Office Supplies
United States
0.92
8.43
ACCO Brands Corporation
ACCO
0518 – Office Supplies
United States
1.01
11.07
Universal Corp
UVV
0524 – Tobacco
United States
0.93
10.8
Hess Corp.
HES
0609 – Oil & Gas Operations
United States
0.86
12.86
Approach Resources Inc.
AREX
0609 – Oil & Gas Operations
United States
0.93
9.48
Equal Energy Ltd. (USA)
EQU
0609 – Oil & Gas Operations
United States
0.96
9.38
Sandridge Mississippian Trust
SDT
0609 – Oil & Gas Operations
United States
1.49
63.59
PHI Inc.
PHII
0612 – Oil Well Services & Equipment
United States
0.85
8.96
Medallion Financial Corp
TAXI
0703 – Consumer Financial Services
United States
0.94
9.13
CIT Group Inc.
CIT
0703 – Consumer Financial Services
United States
0.96
7.26
Goldman Sachs Group Inc
GS
0703 – Consumer Financial Services
United States
0.97
10.16
Ellington Financial LLC
EFC
0703 – Consumer Financial Services
United States
1.04
13.7
Walter Investment Management C
WAC
0703 – Consumer Financial Services
United States
1.11
23.94
Chimera Investment Corporation
CIM
0703 – Consumer Financial Services
United States
1.12
11.58
PHH Corporation
PHH
0703 – Consumer Financial Services
United States
1.19
9.68
EZCORP Inc
EZPW
0703 – Consumer Financial Services
United States
1.58
7.55
WellPoint Inc
WLP
0706 – Insurance (Accident & Health)
United States
0.89
9.52
Employers Holdings, Inc.
EIG
0706 – Insurance (Accident & Health)
United States
0.93
10.46
Reinsurance Group of America I
RGA
0706 – Insurance (Accident & Health)
United States
1.08
7.49
American Equity Investment Lif
AEL
0709 – Insurance (Life)
United States
0.86
16.77
Protective Life Corp.
PL
0709 – Insurance (Life)
United States
0.92
9.76
FBL Financial Group
FFG
0709 – Insurance (Life)
United States
0.96
9.73
Unum Group
UNM
0709 – Insurance (Life)
United States
0.98
9.55
Assurant, Inc.
AIZ
0709 – Insurance (Life)
United States
1
9.67
Lincoln National Corporation
LNC
0709 – Insurance (Life)
United States
1.07
9.76
Symetra Financial Corporation
SYA
0709 – Insurance (Life)
United States
1.23
8.64
CNO Financial Group Inc
CNO
0709 – Insurance (Life)
United States
1.29
12.39
Imperial Holdings, Inc.
IFT
0709 – Insurance (Life)
United States
1.38
37.03
National Western Life Insuranc
NWLI
0709 – Insurance (Life)
United States
1.63
10.85
Genworth Financial Inc
GNW
0709 – Insurance (Life)
United States
1.72
6.87
Fortegra Financial Corp
FRF
0712 – Insurance (Miscellaneous)
United States
1.28
8.18
Allstate Corporation, The
ALL
0715 – Insurance (Property & Casualty)
United States
0.82
8.75
HCC Insurance Holdings, Inc.
HCC
0715 – Insurance (Property & Casualty)
United States
0.82
8.92
State Auto Financial Corp
STFC
0715 – Insurance (Property & Casualty)
United States
0.83
6.92
Stewart Information Services C
STC
0715 – Insurance (Property & Casualty)
United States
0.83
7.96
Safety Insurance Group, Inc.
SAFT
0715 – Insurance (Property & Casualty)
United States
0.84
7.39
Investors Title Company
ITIC
0715 – Insurance (Property & Casualty)
United States
0.86
9.85
First American Financial Corp
FAF
0715 – Insurance (Property & Casualty)
United States
0.87
6.75
American Financial Group Inc
AFG
0715 – Insurance (Property & Casualty)
United States
0.87
9.15
ProAssurance Corporation
PRA
0715 – Insurance (Property & Casualty)
United States
0.87
10.86
Old Republic International Cor
ORI
0715 – Insurance (Property & Casualty)
United States
0.88
10.53
Selective Insurance Group
SIGI
0715 – Insurance (Property & Casualty)
United States
0.9
8.51
Horace Mann Educators Corporat
HMN
0715 – Insurance (Property & Casualty)
United States
0.91
9.6
Kemper Corp
KMPR
0715 – Insurance (Property & Casualty)
United States
0.95
9.64
Baldwin & Lyons Inc
BWINB
0715 – Insurance (Property & Casualty)
United States
0.98
9.42
Hanover Insurance Group, Inc.,
THG
0715 – Insurance (Property & Casualty)
United States
0.99
9.44
Alleghany Corporation
Y
0715 – Insurance (Property & Casualty)
United States
1.01
9.15
EMC Insurance Group Inc.
EMCI
0715 – Insurance (Property & Casualty)
United States
1.02
9.88
United Fire Group, Inc.
UFCS
0715 – Insurance (Property & Casualty)
United States
1.05
10.3
Navigators Group, Inc, The
NAVG
0715 – Insurance (Property & Casualty)
United States
1.09
7.68
Cna Financial Corp
CNA
0715 – Insurance (Property & Casualty)
United States
1.1
8.15
American International Group I
AIG
0715 – Insurance (Property & Casualty)
United States
1.34
12
American National Insurance Co
ANAT
0715 – Insurance (Property & Casualty)
United States
1.4
8.99
MBIA Inc.
MBI
0715 – Insurance (Property & Casualty)
United States
1.45
10.86
FBR & Co
FBRC
0718 – Investment Services
United States
1.03
29.21
KKR Financial Holdings LLC
KFN
0718 – Investment Services
United States
1.05
11.24
NASDAQ OMX Group, Inc.
NDAQ
0718 – Investment Services
United States
1.13
6.66
Piper Jaffray Companies
PJC
0718 – Investment Services
United States
1.17
7.42
Primus Guaranty, Ltd.
PRSG
0718 – Investment Services
United States
1.25
50.12
Arlington Asset Investment Cor
AI
0718 – Investment Services
United States
1.28
11.6
Oppenheimer Holdings Inc. (USA
OPY
0718 – Investment Services
United States
1.34
6.71
CIFC Corp
CIFC
0718 – Investment Services
United States
1.73
9.51
JPMorgan Chase & Co.
JPM
0724 – Money Center Banks
United States
0.98
7.39
First National Bank Alaska
FBAK
0727 – Regional Banks
United States
0.81
6.61
Old National Bancorp
ONB
0727 – Regional Banks
United States
0.81
7
Sandy Spring Bancorp Inc.
SASR
0727 – Regional Banks
United States
0.81
7.28
TowneBank
TOWN
0727 – Regional Banks
United States
0.81
7.52
Fidelity Southern Corporation
LION
0727 – Regional Banks
United States
0.81
10.35
Central Pacific Financial Corp
CPF
0727 – Regional Banks
United States
0.81
21.18
Cascade Bancorp
CACB
0727 – Regional Banks
United States
0.81
22.18
LCNB Corp.
LCNB
0727 – Regional Banks
United States
0.82
6.69
S & T Bancorp Inc
STBA
0727 – Regional Banks
United States
0.83
7.38
Great Southern Bancorp, Inc.
GSBC
0727 – Regional Banks
United States
0.83
8.55
ESB Financial Corporation
ESBF
0727 – Regional Banks
United States
0.84
6.88
WesBanco, Inc.
WSBC
0727 – Regional Banks
United States
0.84
7.15
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