Welcome, Foolish shoppers, to Value Land!
When major bad news hits, stock markets can react strongly and indiscriminately. The good can tank with the bad. An investor willing to dig may be able to separate the weak from the strong and find unusual investment values.
Or, as they say, "When the markets get tough, the tough go shopping." Something like that.
How to find the values? Six Foolish writers apply valuation methods to stocks to make the case that they may be undervalued by at least one criterion. They look at everything from free cash flow multiple or calculating intrinsic value to whether a company has enough cash to survive a short-term hit to its business or whether its individual businesses are worth more than the entire company's enterprise value.
These are meant to be snapshots, not exhaustive analyses, and to give you some ideas of where to dig deeper for values right now. Most investors will want to combine several valuation methods when doing their research. Our Fool's School has a great material to help you learn to value stocks.
And, just to be clear, we are not calling a market bottom, top, capitulation, exhaustion, or silly walk. We're just some shoppers looking for possible deals. Onward!
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Six Stocks on Sale represents the opinion of each Fool only and should in no way be taken as the opinion of either The Motley Fool, Inc. or any company in question, or as representative of anyone or anything other than that specific Fool's thoughts. So do your homework, and review The Motley Fool's disclosure policy.