3 Stocks That Look Like Bargain Opportunities

As of Dec. 22, the following stocks look underestimated by the market, as their price-earnings ratios without non-recurring items (NRI) trade below 20 while their price-earnings to growth (PEG) ratios trade near or below 1.

Furthermore, Wall Street sell-side analysts have recommended positive ratings for them, which indicates that these stocks are foreseen to trade higher over the months ahead.

Micron Technology Inc.

The first company that makes the cut is Micron Technology Inc. (

MU, Financial), a Boise, Idaho-based semiconductors manufacturer.

As of Dec. 22, the price-earnings ratio without NRI is 14.35, which is more compelling than the industry median of 25.59, while the PEG ratio of 0.78 is more compelling than the industry median of 1.61.

On Dec. 22, the closing price was $90.34 per share. The share price has increased by 32% over the past year for a market capitalization of $104.58 billion and a 52-week range of $65.67 to $96.96.

Wall Street sell-side analysts recommend a median rating of buy and an average target price of $107.13 per share for the stock.

General Motors Co

The second company that matches the criteria is General Motors Co (

GM, Financial), a Detroit-based automaker.

As of Dec. 22, the price-earnings ratio without NRI is 7.51, which is more appealing than the industry median of 16.7, while the PEG ratio is 1.07, which has more appeal than the industry median of 2.03.

The closing price on Dec. 22 was $56.08 per share, after having increased 35% over the past year. The market capitalization is $81.62 billion and the 52-week range is $40.04 to $65.18.

Wall Street sell-side analysts recommend a median rating of buy for the stock and have established an average target price of $74.16 per share.

D.R. Horton Inc.

The third company that holds the criteria is D.R. Horton Inc. (

DHI, Financial), an Arlington, Texas-based residential construction company.

As of Dec. 22, the price-earnings ratio without NRI is 9.22, which is more compelling than the industry median of 9.77, while the PEG ratio of 0.32 is also more compelling than the industry median of 0.62.

The closing price on Dec. 22 was $105.58 per share, reflecting a 49.5% increase over the past year for a market capitalization of $37.53 billion and a 52-week range of $64.32 to $110.45.

Wall Street sell-side analysts recommend a median rating of overweight for the stock and have established an average target price of $119.72 per share.