3 Stocks that might look to be at bargain prices - ASX: PDL, ASX: EXP, ASX: MVP

August 07, 2018 05:37 AM AEST | By Team Kalkine Media
 3 Stocks that might look to be at bargain prices - ASX: PDL, ASX: EXP, ASX: MVP

When looking at stocks for investments, the ones that seem to be trading at low levels can give an immense upside in months to come. This however, depends on many factors and not all such stocks can be a great punt to deliver huge returns otherwise expected. Here we have a lens through 3 stocks that may look to be trading at lower levels but is an investment in these worth a punt is something to be seen.

Pendal Group Ltd (ASX:PDL) is a company under the financial sector; and for the quarter ended 30 June 2018, funds under management for the company were up by $1.0 billion. Strong inflows in Australian equities were derailed by margin cash outflows that remained low during the quarter. Meanwhile, Pendal Australia saw net inflows in the institutional channel. Pendal Group revenue is a decrease to annualized fee income of $5.8m which was affected by the net inflows during the June quarter. This totaled to $6.9 million in revenue against $9.4 million for FY17. The stock is trading at a current market price $8.895 and has seen a daily price change of -1.2% as at August 07, 2018, mid-day trading. With decent performance it comes under the watch list as the stock is trading close to 52-week low levels and the price to earnings ratio is also around 13.6x. However, the stock performance is subject to dollar scenario.

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Another stock that looks at low levels is Experience Co Ltd (ASX:EXP). The company is into skydiving activities, and has provided a revised guidance for revenue of $127 million - $130 million and EBITDA as $30 million - $31 million. It remains on track to realize synergies from recent acquisitions and organic growth from its adventure activities in FY 19. Also, the tender to conduct commercial/recreation activities on the Dunk Island Spit camping and recreation area has been accepted in principle by Cassowary Coast Regional Council which has been lately announced by the company. The stock of the company is trading at a current market price of $0.505 with a 3% rise noted on August 07, 2018, by mid-day trading. The company has seen a performance change of -19% over the past 1 year. With new chairman stepping in and updated guidance, the stock can be under the hold recommendation while upside potential tethers on travel and tourism scenario.

Medical Developments International Ltd (ASX:MVP) under, the health care sector, was seeking buyers at $4 each for 4.2 million Medical Developments shares. Primarily, FDA has put the approval for clinical program for Penthrox for sale in the USA on hold and a letter outlining outstanding issues and concerns is to be issued, as advised by the FDA, after the company recently met with the U.S. Food and Drug Administration (FDA) with regards to its Penthrox product. For more than 30 years in Australia and with more than 6.0 million units sold, Penthrox has been used safely and effectively. Meanwhile, MVP stock has fallen -20.47% in twelve months as on August 06, 2018 and traded at a very high P/E of 155.4x. The securities went into a trading halt session state while the group updated the market on FY18 results with gross revenue slipping to $17.929 million against FY17 revenue of $18.9 million and net profit after tax lowered to $0.243 million against FY17 figure of $1.82 million.

Dividend Stocks To Buy

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