2 cheap, dirt stocks that got cheaper

the S & P 500 (Snpindex: ^Gspc) I recently reached the correction area, where the measurement index decreased by 10 % of its last highest levels. Not all shares are “cheap” now, even after this last decline, but they created some excellent purchase opportunities.

Two arrows jumped again to the top of my watch Financial capital (NYSE: COF) and Siriusxm holdings (Nasdak: Siri). Both seemed to be really cheap before correcting the stock market and it looks more attractive now. I have both in my wallet, but this is why I plan to add to my position soon.

The first capital was one of the best performance Banking stocks From 2024, but it has since declined a little. Last month, the company’s share decreased by 18 %, and it may now be a second chance for investors to buy shares.

For one reason, Capital One is a very profitable bank with a clear interest margin of more than 7 %, due to the high -benefit nature of credit card. (Most large banks in a 2 % -3 % range.) They can become more profitable with low interest rates and reduce the cost of about $ 363 billion in bank customer deposits.

One of the important wildcard is the attachment suspended with Discover financial services (NYSE: DFS)Which was approved by Delawir State Commissioner and shareholders in both banks. In addition to significantly increasing the scope of credit card and creating a large synergy, Capital One will become the largest service bank to own its payment network. Discover’s payment network is currently less than 4 % of the total credit cards in the United States, but Capital One aims to build it into a real competitor Visa and MasterCard.

After the last decrease, Capital One is trading compared to 1.08 times from the book value, which is the lowest number of multiple in more than four months. With Discover Merger expect to close any day now, this may be a great opportunity to take a closer look.

Siriusxm is one of the latest shares in my wallet and was trading for a cheap evaluation of mockery before Correction of the stock market. With shares decreased by 16 % since mid -February, the company trades with only 7.4 times front profits and has 4.8 % profit dividends, although there is very profitable work and strong growth prospects.

Siriusxm is not only from the last correction. The stock decreased by 44 % of its height 52 weeks-for good reasons. Revenue has been mainly stable over the past few years, and is expected to decrease slightly this year, in addition to its peak at the company’s subscriber base in 2019 and remains less than 5 % less than this level.