While many investors fled the market last week, some experts saw compelling values, especially for the largest companies.

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While many investors fled the market last week, some experts saw compelling values, especially for the largest companies.

Through Friday, the average price-earnings ratio, stock price divided by earnings per share, for the Dow Jones industrials fell below 9, a level not seen in years.

When a P/E falls below its normal range, it can indicate a stock is underpriced. Earnings estimates for many stocks may continue to drop, further depressing P/Es.

What’s more, some dividends may be at risk. Financial companies have traditionally paid big dividends, but a growing number are scrambling to raise cash and several banks are being bailed out by the government.

Still, analysts say other large stocks have been unfairly punished.

“One of the hallmarks of this bear market has been how indiscriminate it has been,” says Dirk van Dijk, director of research at Zacks Investment Research.

He calls Dow 30 oil company multiples “absurd.”

Home Depot’s P/E is more than twice Chevron’s and well above that of Exxon, which is “sitting on a pile of cash the size of the Himalayas,” van Dijk says. (Exxon had $39 billion in cash at midyear.)

Van Dijk also questions why a bank such as JPMorgan should be outpacing consumer staples like Procter & Gamble (PG) and Johnson & Johnson (JNJ).

Jeffrey Kleintop, chief market strategist at LPL Financial Services, says the technology sector is “amazingly cheap.” Earnings are up year-over-year while prices have fallen sharply.

Likewise, retailers seem to “have been left for dead” even though government actions to address the credit crisis will help consumers.