Featured Tickers:

ADT

EDU

GHC

Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 3 stocks made the list for top value stocks in the Diversified Consumer Services industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.

Why Focus on Undervalued Diversified Consumer Services Stocks?

Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.

AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

What Goes Into AAII’s Value Grade?

Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.

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3 Undervalued Diversified Consumer Services Stocks

Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 3 undervalued stocks in the Diversified Consumer Services industry for Saturday, August 01, 2026. Let’s take a closer look at their individual scores to see how they measure up against each other and the Diversified Consumer Services industry median.

Company	Ticker	Price/Sales	Price/Earnings	EV/EBITDA	Shareholder Yield	Price/Book Value	Price/Free Cash Flow	Value Grade
ADT Inc.	ADT	1.25	10.6	5.1	8.5%	1.60	4.8	A
New Oriental Education & Technology Group Inc.	EDU	1.75	22.2	6.5	3.3%	2.27	14.0	B
Graham Holdings Company	GHC	1.02	9.7	7.2	2.2%	1.07	24.1	A

The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.

The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)

Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).

As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.

ADT Inc.’s Value Grade

Value Grade:

Metric	Score	ADT	Industry Median
Price/Sales	36	1.25	1.10
Price/Earnings	18	10.6	17.0
EV/EBITDA	11	5.1	10.1
Shareholder Yield	7	8.5%	(0.5%)
Price/Book Value	42	1.60	2.05
Price/Free Cash Flow	10	4.8	13.8

ADT Inc. provides security, interactive, and smart home solutions in the United States. The company offers burglar and life safety alarms, smart security cameras, smart home automation systems, and video surveillance systems to detect intrusion; control access; sense movement, smoke, fire, carbon monoxide, leaks, temperature, and other environmental conditions and hazards; and address personal medical emergencies, such as injuries or unanticipated falls. It also provides routine maintenance and installation services for upgraded or additional equipment; and personal emergency response system products and services to sustain independent living, detect when a fall occurs, and provide protection while on the go with geolocation capability. In addition, the company offers ADT+ app, an interactive technology platform; Trusted Neighbor, which allows customers to grant access to their homes through homeowner-authorized credentials and the ADT+ app; automation and smart home solutions, which allow for the remote monitoring and managing of spaces through smartphone applications, customized web portals, and touchscreen panels; and professionally installed and DIY security and smart home solutions. Further, it operates monitoring centers that provide professional and outsourced monitoring services; and field and call centers. The company sells its products under the ADT, ADT Pulse, and ADT+ brands. It serves the residential and small business security and automation markets comprising owners and renters of single-family homes, apartments, and small businesses owners through customer referrals, door-to-door activities, lead generation partners, retail and e-commerce channels, network of field sales and service offices, third-party independent dealers, and authorized dealers. The company was formerly known as Prime Security Services Parent, Inc. and changed its name to ADT Inc. in September 2017. ADT Inc. was founded in 1874 and is headquartered in Boca Raton, Florida.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

ADT Inc. has a Value Score of 95, which is considered to be undervalued.

When you look at ADT Inc.’s price-to-sales ratio at 1.25 compared to the industry median at 1.10, this company has a higher price relative to revenue compared to its peers. This could make ADT Inc.’s stock less attractive for value investors.

ADT Inc.’s price-earnings ratio is 10.60 compared to the industry median at 16.95. This means it has a lower share price relative to earnings compared to its peers. This could make ADT Inc. more attractive for value investors.

Now, let’s assess ADT Inc.’s EV/EBITDA ratio, also known as enterprise multiple. At 5.1, when compared to the industry median of 10.1, the company may be considered undervalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.

Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. ADT Inc.’s shareholder yield is higher than its industry median ratio of (0.50%). Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.

As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. ADT Inc.’s price-to-book ratio is lower than its industry median ratio of 2.05. This could make ADT Inc. more attractive to investors looking for a new addition to their portfolio.

Lastly, let’s take a look at ADT Inc.’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. ADT Inc.’s price-to-free-cash-flow ratio is lower than its industry median ratio of 13.80. This could make ADT Inc. more attractive because the lower P/FCF ratio indicates that ADT Inc. is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.

New Oriental Education & Technology Group Inc.’s Value Grade

Value Grade:

Metric	Score	EDU	Industry Median
Price/Sales	45	1.75	1.10
Price/Earnings	56	22.2	17.0
EV/EBITDA	17	6.5	10.1
Shareholder Yield	24	3.3%	(0.5%)
Price/Book Value	55	2.27	2.05
Price/Free Cash Flow	35	14.0	13.8

New Oriental Education & Technology Group Inc. engages in the provision of private educational services under the New Oriental brand in the People’s Republic of China. The company operates through four segments: Educational Services and Test Preparation Courses; Private Label Products and Livestreaming E-Commerce; Overseas Study Consulting Services; and Educational Materials and Distribution. The company offers test preparation courses to students taking language and entrance exams used by educational institutions in the United States, the Commonwealth countries, and the People’s Republic of China. It also provides non-academic tutoring courses; intelligent learning systems and devices to offer a digital learning experience for students; and overseas studies consulting services. In addition, the company offers online education services through the Koolearn.com platform. Further, it develops and edits educational materials for language training and test preparation. In addition, the company offers educational programs, services, and products to students through schools; learning centers; and bookstores, as well as through its online learning platforms. New Oriental Education & Technology Group Inc. was founded in 1993 and is headquartered in Beijing, the People’s Republic of China.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

New Oriental Education & Technology Group Inc. has a Value Score of 68, which is considered to be undervalued.

New Oriental Education & Technology Group Inc.’s price-earnings ratio is 22.2 compared to the industry median at 17.0. This means that it has a higher price relative to its earnings compared to its peers. This makes New Oriental Education & Technology Group Inc. less attractive for value investors.

New Oriental Education & Technology Group Inc.’s price-to-book ratio is lower than its peers. This could make New Oriental Education & Technology Group Inc. more attractive for value investors when compared to the industry median at 2.05.

You can read more about New Oriental Education & Technology Group Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Graham Holdings Company’s Value Grade

Value Grade:

Metric	Score	GHC	Industry Median
Price/Sales	32	1.02	1.10
Price/Earnings	15	9.7	17.0
EV/EBITDA	21	7.2	10.1
Shareholder Yield	30	2.2%	(0.5%)
Price/Book Value	25	1.07	2.05
Price/Free Cash Flow	58	24.1	13.8

Graham Holdings Company, through its subsidiaries, operates as a diversified holding company in the United States and internationally. The company provides academic preparation programs for international students; professional training and postsecondary education services, as well as English-language programs; operations support services for pre-college, certificate, undergraduate and graduate programs; exam preparation services; career and academic advisement services; and operates a sixth-form college that prepares students for A-level examinations. It also owns and operates television broadcast stations, restaurants, and entertainment venues; and offers social media management tools to connect newsrooms with their users. In addition, the company offers in-home specialty pharmacy infusion therapies; home health, hospice and palliative services; applied behavior analysis therapy; physician services for allergy, asthma and immunology patients; in-home aesthetics; and healthcare software-as-a-service technology. Further, it operates as a multi-product supplier to the commercial building industry; manufactures electrical and lifting solutions; and supplies parts used in electric utilities and industrial systems. Additionally, the company operates dealerships and valet repair services; provides custom framing services; marketing solutions; customer data and analytics software; Slate and Foreign Policy magazines; daily local news podcast and newsletter; a software-as-a-service platform that monetize audio content through paid subscriptions, memberships, and audiobooks; operates an online art gallery and in-person art fair business; and an online commerce platform that features original art and designs on an array of consumer products. The company was formerly known as The Washington Post Company and changed its name to Graham Holdings Company in November 2013. Graham Holdings Company was founded in 1877 and is based in Arlington, Virginia.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Graham Holdings Company has a Value Score of 84, which is considered to be undervalued.

Graham Holdings Company’s price-earnings ratio is 9.7 compared to the industry median at 17.0. This means that it has a lower price relative to its earnings compared to its peers. This makes Graham Holdings Company more attractive for value investors.

Graham Holdings Company’s price-to-book ratio is higher than its peers. This could make Graham Holdings Company less attractive for value investors when compared to the industry median at 2.05.

You can read more about Graham Holdings Company’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Other Diversified Consumer Services Stock Grades

Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.

Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Diversified Consumer Services stocks as well as other industrys.

Choosing Which of the 3 Best Diversified Consumer Services Stocks Is Right for You

Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.

ADT Inc. stock has a Value Grade of A.
New Oriental Education & Technology Group Inc. stock has a Value Grade of B.
Graham Holdings Company stock has a Value Grade of A.

Now that you have a bit more background about each of the 3 undervalued stocks in the Diversified Consumer Services industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.

We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.

A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Additional Resources About Diversified Consumer Services Stocks

Want to learn more about Diversified Consumer Services stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.