Here’s another article from what is as far as I’m concerned the number one trading blog out there (except this one of course). 🙂 Here are 5 stocks you may want to consider putting some type of long term option trading strategy on. According to the following post, they all appear to have great long term potential. Check them out. Do some of your own research and see if you agree.
Despite a strong year-to-date advance for the S&P 500 with a 12% return, many large, high quality companies are still trading below their book value. We looked at stocks paying dividends that are ranked 4 or 5 stars for quality but had a price to book ratio below 1.0. At this time, each of these stocks have surpassed the S&P 500 year-to-date return indicating they are not value traps. In addition, each of these stocks has a VERY BULLISH equity summary score. Here is the list of stocks selling below book value.
Lincoln National Corporation (LNC) engages in multiple insurance and retirement businesses in the United States. It sells a range of wealth protection, accumulation, and retirement income products and solutions. LNC is up 27% YTD but still trades at a price-to-book ratio of 0.51. LNC has a current dividend yield of 1.3% with a 60% dividend increase in the past year. LNC has a project EPS growth of 9% next year compared to this year. We expect that management will continue to use its excess free cash to repurchase shares under its share buyback program. As of December 31, 2011, LNC’s securities repurchase authorization was for $540 million or 7.3% of current market cap.
Barclays PLC (BCS) provides various financial products and services worldwide. It offers retail and commercial banking, credit cards, investment banking, wealth management, and investment management services. BCS is up 32% YTD but still
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