The Bargain Stock Blitz: 7 Companies Ready to Stun the Street

Core Viewpoint - The article emphasizes the potential of investing in bargain stocks, which may offer higher rewards despite their associated risks, compared to more popular stocks that may have limited returns [1]. Group 1: Albertsons Companies (ACI) - Albertsons Companies operates in the consumer defensive sector, specifically grocery stores, and is currently facing challenges in its merger with Kroger due to anti-competitive concerns [2]. - Analysts rate ACI as a moderate buy with an average price target of $23.66, with the most optimistic forecast at $27.25 [2]. - The company has shown consistent financial performance, with a trailing-12-month net income of $1.3 billion on revenue of $79.24 billion, and is expected to see revenue rise to $80.23 billion in the current fiscal year [3]. Group 2: Magna International (MGA) - Magna International is a Canadian parts manufacturer for automakers, involved in designing and manufacturing components for vehicle manufacturers [5]. - The stock trades at 8.35X forward earnings, with anticipated earnings per share (EPS) of $5.68 for fiscal 2024, an increase from $5.49 the previous year [6]. - EPS is projected to rise to $6.87 in fiscal 2025, making it a candidate for bargain stocks [6]. Group 3: Ambev (ABEV) - Ambev, based in Brazil, operates in the consumer defensive space, producing and distributing beverages, including beer [7]. - Analysts have a consensus moderate buy rating for ABEV, with an average price target of $2.96 and a high-side target of $3.28 [7]. - The company has shown a strong financial performance with an average positive earnings surprise of 23.33% over the past nine months, despite a low forward earnings multiple of 12.87X [8]. Group 4: Visteon (VC) - Visteon operates in the automotive technology sector, providing automotive electronics and connected car solutions [9]. - The stock has a low price/earnings-to-growth (PEG) ratio of 0.85X, and analysts rate it as a moderate buy with an average price target of $140.36, potentially reaching $161 [10]. Group 5: Standard Motor Products (SMP) - Standard Motor Products focuses on manufacturing specialty components for the auto parts sector, particularly for hybrid vehicles [11]. - The stock trades at only 0.52X trailing-year revenue, but analysts project steady growth over the next two years, with a buy rating and a price target of $42 [12]. Group 6: Gilat (GILT) - Gilat provides satellite-based broadband communication solutions and operates in the technology sector [13]. - The company has an average positive earnings surprise of 175.6% over the past four quarters and trades at a trailing-year earnings multiple of 12.95X [14]. - Revenue is expected to rise to $313.9 million in fiscal 2024, representing an 18% growth rate from the previous year [14]. Group 7: Pinstripes (PNST) - Pinstripes operates in the consumer cyclical space, focusing on dining and entertainment with a unique concept [15]. - The company reported a net loss of $9.16 million on revenue of $116.7 million, but is experiencing quarterly revenue growth of 14.1% year-over-year [15]. - Analysts project a loss per share of 22 cents for fiscal 2024, with potential revenue growth to $178.83 million in fiscal 2025, making it a high-risk, high-reward investment [16][17].