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Should Value Investors Buy Marubeni (MARUY) Stock?
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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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. 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 value investors might notice is Marubeni (MARUY - Free Report) . MARUY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 8.81. This compares to its industry's average Forward P/E of 19.62. MARUY's Forward P/E has been as high as 10.31 and as low as 5.10, with a median of 8.44, all within the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. MARUY has a P/S ratio of 0.52. This compares to its industry's average P/S of 0.89.
Finally, investors will want to recognize that MARUY has a P/CF ratio of 5.80. 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 15.86. Over the past year, MARUY's P/CF has been as high as 6.47 and as low as 3.58, with a median of 5.53.
Another great Diversified Operations stock you could consider is Sumitomo (SSUMY - Free Report) , which is a # 1 (Strong Buy) stock with a Value Score of A.
Shares of Sumitomo are currently trading at a forward earnings multiple of 8.54 and a PEG ratio of 0.19 compared to its industry's P/E and PEG ratios of 19.62 and 1.78, respectively.
SSUMY's price-to-earnings ratio has been as high as 8.70 and as low as 5.10, with a median of 7.59, while its PEG ratio has been as high as 1.26 and as low as 0.11, with a median of 0.18, all within the past year.
Furthermore, Sumitomo holds a P/B ratio of 0.86 and its industry's price-to-book ratio is 3.56. SSUMY's P/B has been as high as 0.93, as low as 0.70, with a median of 0.82 over the past 12 months.
These are only a few of the key metrics included in Marubeni and Sumitomo strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, MARUY and SSUMY look like an impressive value stock at the moment.
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Should Value Investors Buy Marubeni (MARUY) Stock?
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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. 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 value investors might notice is Marubeni (MARUY - Free Report) . MARUY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 8.81. This compares to its industry's average Forward P/E of 19.62. MARUY's Forward P/E has been as high as 10.31 and as low as 5.10, with a median of 8.44, all within the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. MARUY has a P/S ratio of 0.52. This compares to its industry's average P/S of 0.89.
Finally, investors will want to recognize that MARUY has a P/CF ratio of 5.80. 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 15.86. Over the past year, MARUY's P/CF has been as high as 6.47 and as low as 3.58, with a median of 5.53.
Another great Diversified Operations stock you could consider is Sumitomo (SSUMY - Free Report) , which is a # 1 (Strong Buy) stock with a Value Score of A.
Shares of Sumitomo are currently trading at a forward earnings multiple of 8.54 and a PEG ratio of 0.19 compared to its industry's P/E and PEG ratios of 19.62 and 1.78, respectively.
SSUMY's price-to-earnings ratio has been as high as 8.70 and as low as 5.10, with a median of 7.59, while its PEG ratio has been as high as 1.26 and as low as 0.11, with a median of 0.18, all within the past year.
Furthermore, Sumitomo holds a P/B ratio of 0.86 and its industry's price-to-book ratio is 3.56. SSUMY's P/B has been as high as 0.93, as low as 0.70, with a median of 0.82 over the past 12 months.
These are only a few of the key metrics included in Marubeni and Sumitomo strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, MARUY and SSUMY look like an impressive value stock at the moment.