Stocks Under $10: Is Office Depot Rated a Buy?

Richard Suttmeier Follow | Monday, 06 May 2013 01:30 (EST)

Office Depot (ODP) – ($3.88) has been upgraded to a Buy rating according to ValuEngine with fair value at $4.74, which makes the stock 20.1% undervalued. The one-year price target is $4.04. ValuEngine Profile – “Office Depot, Inc., together with its subsidiaries, is the one of the largest suppliers of office products and services in the world. The company sells to consumers and businesses of all sizes through its three business segments: Stores, Business Services and International. As the largest seller of office products around the world, the Company operates under the Office Depot, Viking Office Products, Viking Direct and 4Sure.com brand names.”

Analysis – The daily chart for ODP shows rising momentum with the stock above its 21-day and 200-day simple moving averages at $3.82 and $3.12, but below its 50-day simple moving average at $3.93. My weekly value level is $3.79 with a semiannual risky level at $4.92.

Courtesy of Thomson / Reuters

Ticker	Company Name	Mkt Price	Fair Value	One-Year Price Target	Last 12-Mon Retn (%)	5-Yr Avg Retn (%)	P/E Ratio
ODP	OFFICE DEPOT	3.88	4.74	4.04	24.67	-20.68	45.48

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Companies

	Symbol	Name	Price	Change	%	Volume
Follow	ODP	Office Depot Inc.	1.63	0.15	10.14	24,388,601	Trade
Follow	THGA	The Hanover Insurance Group Inc. 6.35% Subordinated Debentures due 2053	26.20	0.15	0.58	6,979	Trade