We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Should Value Investors Buy Winnebago Industries (WGO) Stock?
Read MoreHide Full Article
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, 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Winnebago Industries (WGO - Free Report) . WGO 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 9.27. This compares to its industry's average Forward P/E of 11.32. Over the last 12 months, WGO's Forward P/E has been as high as 14.37 and as low as 7.97, with a median of 10.63.
Another valuation metric that we should highlight is WGO's P/B ratio of 2.53. 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 stock's P/B looks solid versus its industry's average P/B of 3.18. Over the past year, WGO's P/B has been as high as 3.12 and as low as 1.84, with a median of 2.42.
Finally, investors will want to recognize that WGO has a P/CF ratio of 9.46. 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. WGO's current P/CF looks attractive when compared to its industry's average P/CF of 14.94. Over the past year, WGO's P/CF has been as high as 18.11 and as low as 7.79, with a median of 13.12.
Value investors will likely look at more than just these metrics, but the above data helps show that Winnebago Industries is likely undervalued currently. And when considering the strength of its earnings outlook, WGO sticks out at as one of the market's strongest value stocks.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Should Value Investors Buy Winnebago Industries (WGO) Stock?
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, 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Winnebago Industries (WGO - Free Report) . WGO 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 9.27. This compares to its industry's average Forward P/E of 11.32. Over the last 12 months, WGO's Forward P/E has been as high as 14.37 and as low as 7.97, with a median of 10.63.
Another valuation metric that we should highlight is WGO's P/B ratio of 2.53. 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 stock's P/B looks solid versus its industry's average P/B of 3.18. Over the past year, WGO's P/B has been as high as 3.12 and as low as 1.84, with a median of 2.42.
Finally, investors will want to recognize that WGO has a P/CF ratio of 9.46. 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. WGO's current P/CF looks attractive when compared to its industry's average P/CF of 14.94. Over the past year, WGO's P/CF has been as high as 18.11 and as low as 7.79, with a median of 13.12.
Value investors will likely look at more than just these metrics, but the above data helps show that Winnebago Industries is likely undervalued currently. And when considering the strength of its earnings outlook, WGO sticks out at as one of the market's strongest value stocks.