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Should Value Investors Buy Industrias Bachoco (IBA) Stock?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is Industrias Bachoco (IBA - Free Report) . IBA is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock is trading with a P/E ratio of 12.04, which compares to its industry's average of 19.69. Over the past 52 weeks, IBA's Forward P/E has been as high as 14.02 and as low as 6.87, with a median of 10.57.
Another valuation metric that we should highlight is IBA's P/B ratio of 1.08. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 2.55. Within the past 52 weeks, IBA's P/B has been as high as 1.23 and as low as 0.68, with a median of 0.99.
Finally, investors should note that IBA has a P/CF ratio of 9.18. 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 stock's P/CF looks attractive against its industry's average P/CF of 13.38. IBA's P/CF has been as high as 10.32 and as low as 4.33, with a median of 7.64, all within the past year.
These are only a few of the key metrics included in Industrias Bachoco's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, IBA looks like an impressive value stock at the moment.
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Should Value Investors Buy Industrias Bachoco (IBA) Stock?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is Industrias Bachoco (IBA - Free Report) . IBA is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock is trading with a P/E ratio of 12.04, which compares to its industry's average of 19.69. Over the past 52 weeks, IBA's Forward P/E has been as high as 14.02 and as low as 6.87, with a median of 10.57.
Another valuation metric that we should highlight is IBA's P/B ratio of 1.08. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 2.55. Within the past 52 weeks, IBA's P/B has been as high as 1.23 and as low as 0.68, with a median of 0.99.
Finally, investors should note that IBA has a P/CF ratio of 9.18. 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 stock's P/CF looks attractive against its industry's average P/CF of 13.38. IBA's P/CF has been as high as 10.32 and as low as 4.33, with a median of 7.64, all within the past year.
These are only a few of the key metrics included in Industrias Bachoco's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, IBA looks like an impressive value stock at the moment.