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Introduction

This is the final installment of the five-part series where I examined the past operating histories and valuations of the 30 Dow Jones Industrial Average stocks.With this 5 Part series I attempted to cover the 30 Dow stocks in order of highest valuations to lowest.For the most part, I suggested that the Dow stocks were generally overvalued but only a few dangerously so.With this final group, I take a fundamental look at the 5 least expensive stocks in the Dow Jones based on operating earnings P/E ratios.

However, as I have stated in each article in this series, valuations based on calculations such as the P/E ratio only tell part of the story.For starters, traditional metrics such as the P/E ratio are predominantly historical.This partially explains why P/E ratios reported on various financial sites often differ.In some cases they report P/E ratios based on trailing 12 months (ttm) or pure historical data.Other sites will report a P/E ratio based on forward earnings estimates.And some sites such as FAST Graphs reports P/E ratios with a blended approach (considering past, current and the closest forecast).Nevertheless, the point is that future earnings achievements are a major valuation consideration.

Portfolio Review: Five Fairly Valued Stocks in the Dow Jones Industrial Average

The following portfolio review lists 5 stocks in the Dow Jones Industrial Average that appear undervalued based on their current low blended P/E ratios.The 6th Dow constituent, DowDuPont Inc.will not be reviewed because of the lack of historical data due to the recent merger.

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