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.
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.