BOSTON (TheStreet) -- The stock rally has made cheap stocks harder to find, but here are five companies whose shares are positioned to gain.
5. W.W. Grainger (GWW) sells facility maintenance products.
The numbers: Third-quarter net income increased 3% to $145 million, or $1.88 a share. Revenue fell 14% to $1.6 billion. Grainger's gross margin was unchanged at 42%, but its operating margin narrowed from 13% to 12%. The company has a strong financial position, with $672 million of cash and $535 million of debt.
The stock: Grainger has risen 24% this year, beating the Dow Jones Industrial Average and S&P 500. The stock trades at a price-to-earnings ratio of 17, a discount to the market and distributor peers. The shares have a 1.9% dividend yield. #4
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