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Are Investors Undervaluing Warner Bros. Discovery (WBD) 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 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 company to watch right now is Warner Bros. Discovery (WBD - Free Report) . WBD 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 14.77 right now. For comparison, its industry sports an average P/E of 21.15. Over the past year, WBD's Forward P/E has been as high as 14.77 and as low as 5.89, with a median of 9.03.
Investors should also note that WBD holds a PEG ratio of 1.46. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. WBD's industry has an average PEG of 2.37 right now. Over the past 52 weeks, WBD's PEG has been as high as 1.49 and as low as 0.67, with a median of 1.03.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Warner Bros. Discovery is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, WBD feels like a great value stock at the moment.
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Are Investors Undervaluing Warner Bros. Discovery (WBD) 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 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 company to watch right now is Warner Bros. Discovery (WBD - Free Report) . WBD 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 14.77 right now. For comparison, its industry sports an average P/E of 21.15. Over the past year, WBD's Forward P/E has been as high as 14.77 and as low as 5.89, with a median of 9.03.
Investors should also note that WBD holds a PEG ratio of 1.46. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. WBD's industry has an average PEG of 2.37 right now. Over the past 52 weeks, WBD's PEG has been as high as 1.49 and as low as 0.67, with a median of 1.03.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Warner Bros. Discovery is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, WBD feels like a great value stock at the moment.