Validea's Top Communication Services Stocks Based on David Dreman
October 27, 2024
Validea, a leading provider of investment research, has released its latest list of top communication services stocks based on the criteria of David Dreman, a renowned value investor. Dreman's approach to investing emphasizes identifying undervalued companies with strong fundamentals and a margin of safety.
Dreman's Criteria for Communication Services Stocks
Dreman's criteria for selecting communication services stocks include:
- Price-to-earnings (P/E) ratio below 15
- Price-to-sales (P/S) ratio below 2
- Debt-to-equity ratio below 50%
- Return on equity (ROE) above 15%
- Earnings per share (EPS) growth rate above 10%
Validea's Top Communication Services Stocks
Based on these criteria, Validea has identified the following communication services stocks as its top picks:
- AT&T (T)
- Verizon (VZ)
- T-Mobile US (TMUS)
- Comcast (CMCSA)
- Charter Communications (CHTR)
Analysis of Validea's Picks
These stocks meet Dreman's criteria for value and growth potential. AT&T and Verizon are two of the largest telecommunications companies in the United States, with strong cash flow and dividend yields. T-Mobile US is a rapidly growing wireless carrier with a strong balance sheet. Comcast and Charter Communications are two of the largest cable providers in the country, with significant market share in their respective regions.
Overall, Validea's top communication services stocks are well-positioned to benefit from the continued growth of the communication services sector. These companies have strong fundamentals, attractive valuations, and a track record of delivering shareholder value.
