Posts Tagged 'ROE'

As worries in Europe continue to push markets downward, many stocks are now selling at a relative discount. This two-part series will focus on stocks that appear undervalued due to low price-to-book ratios (P/B) and high, over 20%, return on equity (ROE).

A company’s price-to-book ratio and return on equity are generally good fundamental statistics to look at when beginning a search for value opportunities. A low P/B, a ratio used to compare a stock’s market value to its actual book ...