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Are Investors Undervaluing W&T Offshore (WTI) 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, 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 W&T Offshore (WTI - Free Report) . WTI is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 4.01 right now. For comparison, its industry sports an average P/E of 5.88. WTI's Forward P/E has been as high as 14.76 and as low as 2.30, with a median of 4.17, all within the past year.
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. WTI has a P/S ratio of 0.88. This compares to its industry's average P/S of 1.5.
Finally, investors will want to recognize that WTI has a P/CF ratio of 2.18. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 7.38. Over the past 52 weeks, WTI's P/CF has been as high as 29.01 and as low as 2.06, with a median of 6.76.
These figures are just a handful of the metrics value investors tend to look at, but they help show that W&T Offshore is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, WTI feels like a great value stock at the moment.
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Are Investors Undervaluing W&T Offshore (WTI) 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, 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 W&T Offshore (WTI - Free Report) . WTI is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 4.01 right now. For comparison, its industry sports an average P/E of 5.88. WTI's Forward P/E has been as high as 14.76 and as low as 2.30, with a median of 4.17, all within the past year.
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. WTI has a P/S ratio of 0.88. This compares to its industry's average P/S of 1.5.
Finally, investors will want to recognize that WTI has a P/CF ratio of 2.18. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 7.38. Over the past 52 weeks, WTI's P/CF has been as high as 29.01 and as low as 2.06, with a median of 6.76.
These figures are just a handful of the metrics value investors tend to look at, but they help show that W&T Offshore is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, WTI feels like a great value stock at the moment.