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Are Investors Undervaluing These Business Services Stocks Right Now?
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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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.
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 DCC (DCCPF - Free Report) . DCCPF is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 12.82, which compares to its industry's average of 16.66. Over the past 52 weeks, DCCPF's Forward P/E has been as high as 16.13 and as low as 12.28, with a median of 14.38.
Investors should also recognize that DCCPF has a P/B ratio of 2.01. 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 3.56. DCCPF's P/B has been as high as 2.21 and as low as 1.91, with a median of 2.14, over the past year.
Another great Business - Services stock you could consider is Mitie Group (MITFY - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Furthermore, Mitie Group holds a P/B ratio of 2.54 and its industry's price-to-book ratio is 3.56. MITFY's P/B has been as high as 5.10, as low as 2.41, with a median of 2.78 over the past 12 months.
Value investors will likely look at more than just these metrics, but the above data helps show that DCC and Mitie Group are likely undervalued currently. And when considering the strength of its earnings outlook, DCCPF and MITFY sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing These Business Services Stocks Right Now?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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.
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 DCC (DCCPF - Free Report) . DCCPF is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 12.82, which compares to its industry's average of 16.66. Over the past 52 weeks, DCCPF's Forward P/E has been as high as 16.13 and as low as 12.28, with a median of 14.38.
Investors should also recognize that DCCPF has a P/B ratio of 2.01. 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 3.56. DCCPF's P/B has been as high as 2.21 and as low as 1.91, with a median of 2.14, over the past year.
Another great Business - Services stock you could consider is Mitie Group (MITFY - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Furthermore, Mitie Group holds a P/B ratio of 2.54 and its industry's price-to-book ratio is 3.56. MITFY's P/B has been as high as 5.10, as low as 2.41, with a median of 2.78 over the past 12 months.
Value investors will likely look at more than just these metrics, but the above data helps show that DCC and Mitie Group are likely undervalued currently. And when considering the strength of its earnings outlook, DCCPF and MITFY sticks out as one of the market's strongest value stocks.