New Trade for April 27th, 2023

Stocks rose this morning, boosted by impressive quarterly results from Meta Platforms (META). META, up 74% YTD, is just one name among a handful of tech giants whose stocks have staged an impressive comeback in 2023. Mega-cap growth may be back in favor, but value stocks make up an important part of an investment portfolio that should not be ignored.   

For our readers looking for a stock with a low PE ratio, a solid outlook, and a decent dividend, look no further. Our team has identified a strong candidate that seems like an impressive value. Find out who in today’s trade alert.  

Bunge (BG)

No matter what’s going on with the economy, civilizations need access to sustenance. Bunge Limited is an agribusiness and food company headquartered in Missouri, USA. In its Q4 earnings report (published in February 2022), the company announced revenue growth of over 32%. Q1 results are slated for release on May 3rd.

Bargain hunters will appreciate the value proposition that Bunge brings to the table—currently, the market prices BG at a trailing multiple of 9.05. As a discount to earnings, Bunge ranks better than 76.36% of the competition. Further, BG trades at 8.04 times forward earnings, which sits well below the industry median of 16.97 times. The stock also provides some decent passive income with a forward yield of 2.63%, backed by a 22.1% payout ratio, indicating a highly sustainable yield.

BG has a consensus strong buy rating and an average price target of $125, implying over 36% upside potential.

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