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Is Central Pacific Financial (CPF) Stock Undervalued Right Now?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company value investors might notice is Central Pacific Financial (CPF - Free Report) . CPF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 12.76. This compares to its industry's average Forward P/E of 13.18. Over the past year, CPF's Forward P/E has been as high as 17.36 and as low as 8.27, with a median of 14.18.
Another notable valuation metric for CPF is its P/B ratio of 0.77. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. CPF's current P/B looks attractive when compared to its industry's average P/B of 1.16. Over the past year, CPF's P/B has been as high as 1.65 and as low as 0.68, with a median of 1.52.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CPF has a P/S ratio of 1.61. This compares to its industry's average P/S of 2.18.
Finally, our model also underscores that CPF has a P/CF ratio of 5.94. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 13.83. Within the past 12 months, CPF's P/CF has been as high as 11.20 and as low as 4.72, with a median of 10.24.
Value investors will likely look at more than just these metrics, but the above data helps show that Central Pacific Financial is likely undervalued currently. And when considering the strength of its earnings outlook, CPF sticks out at as one of the market's strongest value stocks.
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Is Central Pacific Financial (CPF) Stock Undervalued Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company value investors might notice is Central Pacific Financial (CPF - Free Report) . CPF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 12.76. This compares to its industry's average Forward P/E of 13.18. Over the past year, CPF's Forward P/E has been as high as 17.36 and as low as 8.27, with a median of 14.18.
Another notable valuation metric for CPF is its P/B ratio of 0.77. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. CPF's current P/B looks attractive when compared to its industry's average P/B of 1.16. Over the past year, CPF's P/B has been as high as 1.65 and as low as 0.68, with a median of 1.52.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CPF has a P/S ratio of 1.61. This compares to its industry's average P/S of 2.18.
Finally, our model also underscores that CPF has a P/CF ratio of 5.94. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 13.83. Within the past 12 months, CPF's P/CF has been as high as 11.20 and as low as 4.72, with a median of 10.24.
Value investors will likely look at more than just these metrics, but the above data helps show that Central Pacific Financial is likely undervalued currently. And when considering the strength of its earnings outlook, CPF sticks out at as one of the market's strongest value stocks.