These cheap stocks could see huge gains during a vaccine-driven economic rebound

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When analysts raise their earnings estimates, shares of some of the hardest-hit companies will begin to bounce back.

There’s no doubt that the coronavirus economy has been terrible for value stocks. But with expectations growing that there will be effective COVID-19 vaccines late this year or sometime in 2021, it’s time to think about which stocks that have been hit so hard this year will soar as earnings expectations normalize.

Increasing earnings estimates tend to drive stock prices higher, and for slower-growing companies, rising estimates as recovery expectations solidify, and even P/E multiple expansion, can lead to significant gains for investors who are willing to go in now and wait. Patiently. Among the remaining 478 constituents of the S&P 500, here are the 30 that are the most cheaply priced against calendar 2022 consensus earnings estimates:Here’s the list again, this time with analysts’ ratings and price targets. Scroll the table at the bottom, to the right, to see all the data.

 

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