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Wednesday, July 18, 2012

Potential Takeover Candidate? (NYSE: KCG)

Shares of KCG fell by 4.13% or $-0.485/share to $11.26. NYSE is trading at a price to book ratio of 0.7. This indicates that the value of the company's underlying assets exceeds today's market price. The PEG is 1.15 suggesting that the shares are attractively priced relative to the firm's growth rate. The price to sales ratio came in at 0.77. Hence, the firm is extremely cheap relative to its top line sales figures. On average, 1039800 shares of KCG exchange hands on a given day and today's volume is recorded at 758792. These financial metrics combined make this company seem undervalued. Value investors may have an eye on this one, especially if the stock gets cheaper.

Knight Capital Group, Inc. (Knight) is a global financial services firm that provides access to the capital markets across multiple asset classes to a network of clients, including buy- and sell-side firms and corporations.