Diversified Global Holdings Group, Inc. DGHG
DGHG is a new pick for us this morning; we are excited about the opportunity to mention such an intrinsically undervalued stock. There are several indications that this stock’s actual value is significantly higher than the current PPS of 1.16.
Value Could Approach $2.00+ per Share based on these facts and figures:
- Diversified Global recently reported $203M, an equivalent of $2.33 per share, in shareholders’ equity, which means that the current stock price is trading roughly 100% lower than actual valuation.
- Excluding land, equipment and the like, DGHG’s total assets are around $0.38 per share, which represents a fairly significant percentage of the share price.
- Diversified Global recently reported bottom-line growth rates of 256%, according to the latest 10-Q.
- The company reduced its share count last quarter by 6.7%.
These are just a few of the points that lead us to the conclusion that Diversified Global Holdings Inc. (OTCQB: DGHG) may be an emerging stock with high growth potential. Between the company’s strong growth and profitability, not to mention its apparent gross undervaluation on today’s market, we are led to the assumption that at current levels in the 1.10’s, DGHG is an absolute steal of a buy. We will certainly be moving to acquire some of these highly discounted shares.