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7 Value Stocks to Buy Instead of Facebook

MILLBURN, N.J. ( Stockpickr) -- Did it really surprise most people that Facebook (FB) sold its shares to the public in an IPO at hugely inflated valuations, only to watch the share price head south nearly immediately? Even after plummeting 25% from its initial offering price, the stock is selling for 15 times sales and 51 times earnings. Luckily for Facebook, the company has some cash and no debt, but its enterprise-value-to-free-cash-flow ratio is an exorbitant 37.

Maybe investors still think that Facebook can grow into its valuation. I chose to look elsewhere for good value.

>>10 Low-Risk Dividend Stocks for a Volatile Market

In my quest for value, I sought out stocks with low price-to-sales ratios, low enterprise-value-to-sales ratios and low P/E ratios. I came up with a somewhat eclectic group of seven stocks that fit these criteria.

Western Refining

We all know that the refining business has been suffering lately, with crude oil prices on the rise and refining margins shrinking. Many refiners have closed down. However, over the past few weeks, crude oil prices have declined, the U.S. dollar has rallied, and costs have begun to decline.

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Despite problems in the industry, revenues for Western Refining (WNR) are expected to rise 10% in 2012 and 11% in 2013. The worst may be over in the refining industry, and Western Refining might provide some excellent value

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SYM TRADE IT LAST %CHG
ALK $64.40 0.00%
BBY $34.33 0.00%
FB $80.54 0.00%
HUM $179.00 0.00%
PTEN $21.40 0.00%

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