10 Cheap Value Stocks to Invest In, According To Seth Klarman

3. CRH plc (NYSE:CRH)

Number of Hedge Fund Holders: 80

Forward Price to Earnings Multiple: 15.87

Baupost Group’s Holdings: $244.15 Million

CRH plc (NYSE:CRH) is a basic materials company that provides building materials solutions. It provides solutions for constructing and maintaining public infrastructure and commercial and residential buildings. While the stock was up by 40% in 2020, it is still trading at a discount, going by its price-to-earnings multiple of 15. The impressive performance came on investors reacting to the company’s ability to capitalize on growing demand within the construction industry.

CRH plc (NYSE:CRH) delivered strong Q3 financial results characterized by double-digit growth in earnings. Total revenues increased by 4% to $11 billion, affirming strong demand for the company’s construction materials. CRH anticipates strong underlying demand in all of its major end-use markets in 2025, which will be fueled by substantial public infrastructure spending and reindustrialization efforts.

As one of the largest building materials companies with operations in 48 states and 7 Canadian provinces, CRH plc (NYSE:CRH) should continue to benefit from economies of scale amid increased spending in the construction sector. In addition, the company continues to return value to shareholders, going by its $300 million share repurchase initiative. The initiative seeks to boost capital structure and enhance shareholder value by reducing the number of shares in circulation.