This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

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.

>>ACTIVE STOCK TRADERS: Check out Stockpickr's special offer for Real Money, headlined by Jim Cramer, now!

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
1 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
ALK $70.43 0.00%
BBY $32.08 0.00%
FB $117.58 0.00%
HUM $177.07 0.00%
PTEN $19.75 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs