In the middle of half year earnings reporting, there have been some big surprises like Domino's Pizza Enterprises Ltd's (ASX: DMP) earnings surge, capping off a 28% share price gain in the last two weeks.
Then, at the opposite end, there's Kathmandu Holdings Ltd (ASX: KMD), the outdoor activities gear and apparel retailer, diving 26% since the start of February, due to very disappointing holiday sales results and earlier flagging potentially the company's first underlying loss since listing.
There are other stocks that are still off in share price over the past six months. Here are 4 cheap looking stocks that investors might want to consider.
G8 Education Ltd (ASX: GEM) is down 9% in the last six months, yet in February the childcare centre operator has rallied 15%. The company has acquired many childcare centres at a rapid rate, so the market may be concerned that it may not be able to keep up the pace, or the acquisitions may weigh down on the balance sheet. Soon to be released earnings will tell the tale.
Oil Search Limited (ASX: OSH) got hit along with all the other oil and gas stocks when crude oil prices plummeted. In the past six months, Oil Search has declined 16%, but has started to edge up about 4% on news that it will get its allotment of earnings for its stake in the PNG LNG project. Estimates are for about US$800 million to come the company's way.
Suncorp Group Ltd (ASX: SUN) announced a 15% rise in half year profits this week even after the damage claims from the recent Brisbane hail storm were covered, but the market complacently let the stock slide. It's down 4% in the last two weeks and over the past six months as well. This may be a good opportunity for Foolish investors to pick up discounted stock of a quality company with expanding earnings.
Origin Energy Ltd (ASX: ORG) is heading toward the scheduled starting date of LNG exports around mid-2015, yet the stock has been hammered on concerns dramatically lower crude oil prices may affect the APLNG project's earnings capability. In the last six months, Origin's share price is still down 16%, but over the past two weeks it has rallied 11%, partly due to stabilising Brent crude oil prices. If oil prices can hold, investors will move back into Origin for the anticipated earnings boost. I would not suggest taking any risks by trying to pick a bottom because the LNG story is a long-term one.
