Four energy bargains below 10x earnings as U.S.-Iran war lifts crude

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Energy stocks have led market gains over the past few days as the U.S.-Israel-Iran conflict intensifies, with crude oil prices surging over 9% to near $80/barrel on fears of supply chokepoints like the Strait of Hormuz and potential strikes on Iranian oil facilities or Saudi infrastructure.

The Energy Select Sector SPDR ETF (XLE [https://seekingalpha.com/symbol/XLE]) has jumped sharply, reflecting broad strength across integrated majors.

Amid the rally, value hunters are zeroing in on a handful of energy-related stocks trading at deeply depressed price-to-earnings (P/E) multiples below 10, which is a threshold often signaling undervaluation relative to historical norms and peers.

Standouts include Edison International (EIX [https://seekingalpha.com/symbol/EIX]) (P/E 6.44), AES Corporation (AES [https://seekingalpha.com/symbol/AES]) (9.38), Ferrellgas Partners (FGPR [https://seekingalpha.com/symbol/FGPR]) (2.63), and Star Group L.P. (SGU [https://seekingalpha.com/symbol/SGU]) (6.80), which screen as bargains despite the sector's momentum. A P/E below 10 means the stock trades at less than 10 times its annual earnings per share, a fundamental metric prized by value investors as it implies a modest price tag for each dollar of profits generated.

Whether these low-P/E names represent true opportunities or traps in a volatile war-driven market depends on sustained oil prices and broader economic fallout.

Energy ETFs: (XLE [https://seekingalpha.com/symbol/XLE]), (AMLP [https://seekingalpha.com/symbol/AMLP]), (VDE [https://seekingalpha.com/symbol/VDE]), (XOP [https://seekingalpha.com/symbol/XOP]), (OIH [https://seekingalpha.com/symbol/OIH]), and (IXC [https://seekingalpha.com/symbol/IXC])

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* Iran War: De-Escalation Could Come Quickly, Sell Oil And Gold Into Strength [https://seekingalpha.com/article/4877192-iran-war-de-escalation-could-come-quickly-sell-oil-and-gold-into-strength]
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* Polymarket prices rising odds of U.S.-Israel-Iran conflict ending by June [https://seekingalpha.com/news/4560104-polymarket-prices-rising-odds-of-us-israel-iran-conflict-ending-by-june]