American Physicians Services: Undervalued Relative to Peers, Growth Prospects

MarketBeatingStocks.com likes American Physicians Services Group (AMPH) based on their earnings growth, low valuation, strong analyst support, and recent price momentum. AMPH earnings growth over the past 12 months has been astronomical at 358%, and that is better than virtually all of their industry competitors.

While it is true that a major acquisition last year accounted for much of that extreme growth, even after normalizing, we think earnings have grown around 40% which is still better the majority of their industry competitors. With a PE ratio around 6 (one of the lowest in the industry), we think the stock is still undervalued relative to peers and its growth prospects.