NEW YORK (TheStreet) -- There are a number of great companies in the market today. Each month we screen for stocks with low price-to-earnings ratios, by using the ModernGraham Valuation Model.

In March, we foundFord (F) - Get Report, Freeport-McMoRan (FCX) - Get Report, Capital One (CO) - Get Report, Unum (UNM) - Get Report and Gannett (GHI) . We found the same results in April. However, in May, we dropped two and added two to round out the five-lowest PEmg (price/normalized earnings) companies.

Each company has been determined to be suitable for the "Enterprising (or active, or aggressive) Investors". We also have tips for "Defensive (or passive) Investors." We define both types of investors here.

Discover Financial Services (New Find)

Discover Financial (DFS) - Get Report is a company that is intriguing to enterprising investors but does not quite qualify for the Defensive Investor. It has a short history as a publicly traded company and has yet to establish the dividend history the defensive investor requires.

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Enterprising investors, however, should feel comfortable proceeding with further research into the company and comparing it with peers such as Capital One and Wells Fargo (WFC) - Get Report.

As for the valuation, Discover appears to be undervalued as its EPSmg (normalized earnings) is expected to increase to $4.51 this year from $1.78 in 2010. This growth more than supports the market's implied estimate of 1.96% earnings growth and leads our valuation model to return an estimate of intrinsic value that is well above the market price. (See the full valuation.)

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DFS data by YCharts

Coach (New Find)

Coach (COH) is an intriguing company for enterprising investors, because it has passed all five of the investor type's requirements (strong current assets to current liabilities ratio, low debt, stable earnings, dividend payments, and at least some earnings growth).

The company does not quite qualify for the defensive investor because of its short dividend history and the high price-to-book ratio.

Enterprising investors, however, should feel comfortable proceeding with further research into the company. From a valuation perspective, the company looks significantly undervalued as its EPSmg is expected to grow to $3.19 this year from $2.03 in 2010. The growth outpaces the market's implied estimate of 3.52% earnings growth, and leads our valuation model to return an estimate of intrinsic value that is well above the market price. (See the full valuation)

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COH data by YCharts

Ford Motor

Ford (F) - Get Report is suitable for enterprising investors, but not for defensive investors. Defensive investors should have concerns with Ford's lack of earnings stability during the last 10 years as well as with its lack of a strong dividend history during that time frame.

The company passes all of the requirements of enterprising investors, though.  As a result, they should feel comfortable proceeding with further research into the company and its competitors.

From a valuation perspective, the company appears to be undervalued as its EPSmg is expected to increase to $1.92 this year from a loss of $1.14 in 2010. The growth dwarfs the market's implied estimate of a negative 0.10% and leads the valuation model to return an estimate of intrinsic value that falls well above the market price at this time. 

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F data by YCharts

Freeport-McMoRan

FreePort-McMoran (FCX) - Get Report is an interesting company in the ModernGraham valuation model.  It does not pass the requirements of the defensive investor, because it has not consistently paid dividends during the last 10 years and has not shown earnings stability during that time.

The stock, however, does pass the requirements of the enterprising investor, though it has a higher level of debt relative to current assets than the investor type may like to see. Enterprising investors should feel comfortable proceeding with their research, beginning with a review of a Glance at the Dow.

The valuation is affected significantly by the company's large loss in 2008, which has caused the EPSmg (normalized earnings) figure for 2009 to be very low in relation to 2013.

As it stands, the EPSmg have grown from a loss of $1.67 to $3.48, indicating a high level of growth that would appear to significantly outpace the market's implied estimate of 0.62% earnings growth. That has led the model to return an intrinsic value estimate that is well above the market price.

The overall result that the company is undervalued is supported by the valuation based on only 3% growth.

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FCX data by YCharts

Capital One Financial

Capital One is a great company for enterprising investors to look at in more detail, but it does not quite qualify for the defensive investor because it has not shown sufficient growth in its earnings during the 10 year historical period.

That said, the company passes all of the requirements of the enterprising investor (mentioned above). Enterprising investors following the ModernGraham approach based on Benjamin Graham's methods should feel comfortable proceeding with further research into the company and comparing it with competitors including JPMorgan Chase (JPM) - Get Report and Wells Fargo.

From a valuation side of things, Capital One appears to be significantly undervalued after growing its EPSmg (normalized earnings) from $3.14 in 2009 to $6.56 in 2013. The growth surpasses the market's implied estimate of 1.39% earnings growth and leads the valuation model to return an estimate of intrinsic value that is well above the market price. 

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COF data by YCharts

What do you think?  Are these companies a good value for Enterprising Investors?  Is there a company you like better?  Leave a comment on our 

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At the time of publication, the author was long Coach and Ford.

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This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.