Value investing has created more billionaires than any other strategy, like Warren Buffett, who built his fortune by purchasing wonderful businesses at reasonable prices. But these hidden gems are few and far between - many stocks that appear cheap often stay that way because they face structural issues.

Separating the winners from the value traps is a tough challenge, and that's where StockStory comes in. Our job is to find you high-quality companies that will stand the test of time. That said, here are three value stocks with poor fundamentals and some alternatives you should consider instead.

Forward P/E Ratio: 8.7x

Owner of Spongebob Squarepants and formerly known as ViacomCBS, Paramount Global (NASDAQ:PARA) is a major media conglomerate offering television, film production, and digital content across various global platforms.

Why Should You Sell PARA?

Paramount is trading at $11.75 per share, or 8.7x forward P/E. Check out our free in-depth research report to learn more about why PARA doesn't pass our bar.

Forward P/E Ratio: 8x

Hillenbrand, Inc. (NYSE: HI) is an industrial company that designs, manufactures, and sells highly engineered processing equipment and solutions for various industries.

Why Do We Avoid HI?

At $20.41 per share, Hillenbrand trades at 8x forward P/E. Read our free research report to see why you should think twice about including HI in your portfolio, it's free.

Forward P/E Ratio: 13.9x

Starting as a financing company in 1990 before evolving into a full-service technology provider, ePlus (NASDAQ:PLUS) provides comprehensive IT solutions, professional services, and financing options to help organizations optimize their technology infrastructure and supply chain processes.