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Are Investors Undervaluing B2Gold (BTG) Right Now?

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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

One stock to keep an eye on is B2Gold (BTG - Free Report) . BTG is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 10.43. This compares to its industry's average Forward P/E of 19.56. BTG's Forward P/E has been as high as 17.43 and as low as 6.41, with a median of 11.38, all within the past year.

BTG is also sporting a PEG ratio of 0.52. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. BTG's PEG compares to its industry's average PEG of 1.36. BTG's PEG has been as high as 6.43 and as low as 0.52, with a median of 0.76, all within the past year.

We should also highlight that BTG has a P/B ratio of 2.35. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 6.65. Over the past 12 months, BTG's P/B has been as high as 3.38 and as low as 1.36, with a median of 2.50.

Finally, we should also recognize that BTG has a P/CF ratio of 8.57. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 10.50. Over the past 52 weeks, BTG's P/CF has been as high as 11.92 and as low as 5.09, with a median of 9.23.

These are just a handful of the figures considered in B2Gold's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that BTG is an impressive value stock right now.


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