Back to top

Image: Bigstock

Why TOTAL (TOT) is Such a Great Value Stock Pick Right Now

Read MoreHide Full Article

Value investing is always a very popular strategy, and for good reason. After all, who doesn’t want to find stocks that have low PEs, solid outlooks, and decent dividends?

Fortunately for investors looking for this combination, we have identified a strong candidate which may be an impressive value; TOTAL S.A. .

TOTAL in Focus

TOT may be an interesting play thanks to its forward PE of 11.94, its P/S ratio of 0.84, and its decent dividend yield of 4.32%. These factors suggest that TOTAL is a pretty good value pick, as investors have to pay a relatively low level for each dollar of earnings, and that TOT has decent revenue metrics to back up its earnings.

But before you think that TOTAL is just a pure value play, it is important to note that it has been seeing solid activity on the earnings estimate front as well. For current year earnings, the consensus has gone up by over 3% in the past 60 days, thanks to three upward revisions in the past two months compared to none lower.

This estimate strength is actually enough to push TOT to a Zacks Rank #2 (Buy), suggesting it is poised to outperform. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

So really, TOTAL is looking great from a number of angles thanks to its PE below 20, a P/S ratio below one, and a strong Zacks Rank, meaning that this company could be a great choice for value investors at this time.

The Best Place to Start Your Stock Search

Today, you are invited to download the full, up-to-the-minute list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>

Published in