From Russia with boats

Russia’s stock market looks cheap. So do marine transportation firms. Extreme bargain hunters should go there.

Markets | Regions and sectors

The hunt for value never stops. Value investors need to turn over rocks and look in unexplored places to find unloved and undervalued securities. But it’s a big world out there. With over 50,000 publicly listed companies, it’s difficult to know which regions and sectors to look at. By screening every listed company, Valuabl shortlists the most promising countries and industries. Extreme bargain hunters should look at Russian, Chilean, and Hong Kongese stocks. They should also look for companies in marine transportation; oil, gas and consumable fuels; and diversified telecommunication services.

Of the countries with at least $100bn worth of public stocks, the Russian, Chilean, and Hong Kongese markets look the cheapest. Based on a cumulative rank of each country’s aggregate price-to-free cash flow, price-to-earnings, and price-to-book multiples, those ones rank lowest. While this approach doesn’t consider the risks or growth potential in each country, it doe…