2 Value Stocks to Consider Right Now and 1 We Find Risky

Value investing has produced some of the world’s most famous investing billionaires, including Warren Buffett, David Einhorn, and Seth Klarman, who built their fortunes by purchasing wonderful businesses at reasonable prices. But these hidden gems are few and far between - many stocks that appear cheap often stay that way because they face structural issues.

Separating the winners from the value traps is a tough challenge, and that’s where StockStory comes in. Our job is to find you high-quality companies that will stand the test of time. That said, here are two value stocks trading at big discounts to their intrinsic values and one with little support.

One Value Stock to Sell:

Tenable (TENB)

Forward P/S Ratio: 3x

Starting with the widely-used Nessus vulnerability scanner first released in 1998, Tenable (NASDAQ:TENB) provides exposure management solutions that help organizations identify, assess, and prioritize cybersecurity vulnerabilities across their IT infrastructure and cloud environments.

Why Are We Wary of TENB?

1. Products, pricing, or go-to-market strategy may need some adjustments as its 6.9% average billings growth over the last year was weak
2. Estimated sales growth of 6.8% for the next 12 months implies demand will slow from its two-year trend
3. Operating margin expanded by 3.4 percentage points over the last year as it scaled and became more efficient

Tenable is trading at $27.69 per share, or 3x forward price-to-sales. Check out our free in-depth research report to learn more about why TENB doesn’t pass our bar.

Two Value Stocks to Watch:

Keurig Dr Pepper (KDP)

Forward P/E Ratio: 13.3x

Born out of a 2018 merger between Keurig Green Mountain and Dr Pepper Snapple, Keurig Dr Pepper (NASDAQ:KDP) is a consumer staples powerhouse boasting a portfolio of beverages including sodas, coffees, and juices.

Why Does KDP Stand Out?

1. Average unit sales growth of 4.8% over the past two years reflects steady demand for its products
2. Scale advantages are evident in its $16.94 billion revenue base, which provides operating leverage when demand is strong
3. Market share is on track to rise over the next 12 months as its 72.3% projected revenue growth implies demand will accelerate from its three-year trend

At $31.89 per share, Keurig Dr Pepper trades at 13.3x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

Chord Energy (CHRD)

Forward P/E Ratio: 6.1x

Holding the largest acreage position in the Williston Basin, Chord Energy (NASDAQ:CHRD) drills for and produces crude oil, natural gas liquids, and natural gas in North Dakota's Williston Basin.

Why Is CHRD a Good Business?

1. Annual revenue growth of 21.8% over the past ten years was outstanding, reflecting market share gains this cycle
2. Economies of scale give it some operating leverage when demand rises
3. Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends

Chord Energy’s stock price of $127.42 implies a valuation ratio of 6.1x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.

High-Quality Stocks for All Market Conditions

WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.

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Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.