Benzinga | Feb 8, 2021 09:51AM EST

A Look Into Healthcare Sector Value Stocks

What is a Value Stock?

A value stock traditionally has a lower price when compared to stock prices of companies in the same industry. This indicates that the company may be undervalued, as investors are not expressing as much interest in such companies. The most commonly used way to check for value is with the price-to-earnings multiple, or P/E. A low P/E multiple is a good indication that the stock is undervalued.

Benzinga Insights has compiled a list of value stocks in the healthcare sector that may be worth watching:

2 XBiotech (NASDAQ:XBIT) - P/E: 1.37

4 Voyager Therapeutics (NASDAQ:VYGR) - P/E: 7.03

6 Bio-Rad Laboratories (NYSE:BIO) - P/E: 5.28

8 Jaguar Health (NASDAQ:JAGX) - P/E: 0.82

10 Exagen (NASDAQ:XGN) - P/E: 0.47

XBiotech saw an increase in earnings per share from -0.24 in Q2 to -0.09 now. XBiotech does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Voyager Therapeutics saw an increase in earnings per share from -0.23 in Q2 to 2.27 now. Voyager Therapeutics does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Bio-Rad Laboratories saw an increase in earnings per share from 1.61 in Q2 to 3.0 now. Bio-Rad Laboratories does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

Jaguar Health has reported Q3 earnings per share at -0.21, which has increased by 52.27% compared to Q2, which was -0.44. Jaguar Health does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

This quarter, Exagen experienced a decrease in earnings per share, which was -0.27 in Q2 and is now -0.34. Exagen does not have a dividend yield, which investors should be aware of when considering holding onto such a stock.

The Significance: A value stock may need some time to rebound from its undervalued position. The risk of investing in a value stock is that this emergence may never materialize.