Owens Corning (OC), Youku Tudou Inc (ADR) (YOKU) & More: Tiger Cub John Griffin’s Best Under-the-Radar Picks

In the fourth quarter of 2012, WABCO’s revenue fell by 11% versus a year earlier and this helped bring net income down by 15%. As an auto parts company (with a focus on transmission and braking systems) WABCO is highly dependent on macro demand and so the stock’s beta is 2.3. With the trailing earnings multiple at 15, we think that there are probably better values in the auto space.

Youku Tudou Inc (ADR) (NYSE:YOKU), the Chinese Internet video and advertising company, rounds out our list of Griffin’s small cap picks. Youku Tudou Inc (ADR) (NYSE:YOKU) is unprofitable on a trailing basis, and Wall Street analysts expect it to report net losses this year as well before earning $1.38 per share in 2014 (though there is a very wide range to that forecast, with some analysts predicting continued losses). The stock is down 32% in the last year, likely due to concerns over Chinese macro and worries about accounting fraud at Chinese companies.

As a result we’re not excited about Youku Tudou Inc (ADR) (NYSE:YOKU), and in fact many of Blue Ridge’s small cap stocks seem like they might best be avoided at least for now. Owens Corning (NYSE:OC) has at least some value prospects, though in that case we would prefer to wait for more data given the company’s fairly weak recent performance. Grupo Financiero Santander does look interesting, but given that it is a foreign bank we’re sure many investors will prefer to avoid it and certainly it would be important to dig more deeply into the financials before making any buying decision.

Disclosure: I own no shares of any stocks mentioned in this article.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

5 Retirement Mistakes To Avoid (and Einstein’s Famous Quote)

11 Smartest People in the World

6 Films About the Financial World You Need To Watch (While “The Wolf” is Not Around)

Warren Buffett and Billionaires Are Crazy About These 7 Stocks

The Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top Businesses to Invest In

Top 5 Things You Might Be Doing Wrong With Your Business

Top 5 Strategic Technology Trends in 2014

Top Rags to Riches Stories

Parenting Behavior That Promotes Future Leaders

Top 5 Mistakes Made by Small Businesses

Top 5 Most Common and Potentially Devastating Financial Blunders

Top 5 Highest Paying Jobs for Web Designers

Top 6 Most Respected Professions that Also Pay Well

Top 5 Pitfalls Investors Should Avoid

Top 6 Lawyers and Policy Makers Under 30

Top 6 New Year’s Resolutions for Entrepreneurs

Top 7 Locations to Check in on Facebook

Top 5 Mistakes made by Rookie eBay Sellers

Top 7 eBook Publishers in 2013

Top 6 Health Industry Trends in 2014

5 Lessons for Entrepreneurs from Seth Godin

Top 5 Success Tips from Jordan Belfort – the Wolf of Wall Street

Best Master’s in Finance Degree Programs

Top 6 Earning Celebrities Over 50

The most expensive sports to play

Top 7 Earning Celebrities Under 25

Best 7 Online Courses to Take: Free Finance MOOCs

Top 6 Bad Habits that Promote Failure

20 Most Valuable Soccer Teams in the World in 2013

12 Most Expensive Countries for Foreign Students

Top 30 Most Influential Women in the World

Top 20 Most Expensive New Year Eve Shows

Top 5 Best Vocational Careers

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!