The Price-To-Book or P/B ratio is a valuable factor for investors to consider when looking at stocks. It is a useful number to figure out which companies are overvalued or undervalued. If an investor wants to find a low-priced stock, then they will look at a company that trades below its book value. That P/B is less than one. The number may be low if, for example, a company undergoes new management. Three stocks at present day that have low P/B values are Chimera Investment Corporation (NYSE:CIM), Harmony Gold Mining Co. (ADR) (NYSE:HMY), and BioScrip Inc (NASDAQ:BIOS).
Regarding Chimera Investment Corporation (NYSE:CIM), it has a price-to-book ratio that is 0.83. That number is up from the industry average of 0.57. The closing price most recently was at $14.06. If one looks over the last five years, one can see that its sales rose 14.40% roughly a year and that its average rate for company net income went down by 028.50% (rate).
For Harmony Gold Mining Co. (ADR) (NYSE:HMY), the stock has wavered over the last 52 weeks between $0.92 and $3.23. Its present P/B ratio is 0.98, which is much lower than the industry average of 4.76. As for the consensus price target, that number is $9.91 per share. Shares have gone up 7.81% over the last three months, when analyzed.
BioScrip Inc (NASDAQ:BIOS) is a third stock worth analysis. It closed most recently at $14.06. As for the price-to-book ratio, it is at 0.83, which differs from the industry average of 0.57. Looking over the past five years, one can see company sales were up by 14.40, typically, a year, while net income dipped by about -28.50% on average. It has a strong downtrend at the moment. Its year low was on August 12 of this year; the year low was 1.86.