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Is Tecnoglass (TGLS) a Great Value Stock Right Now?

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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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 stock to keep an eye on is Tecnoglass (TGLS - Free Report) . TGLS is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 13.54 right now. For comparison, its industry sports an average P/E of 18.89. TGLS's Forward P/E has been as high as 17.76 and as low as 11.21, with a median of 13.92, all within the past year.

Investors will also notice that TGLS has a PEG ratio of 0.68. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. TGLS's industry currently sports an average PEG of 1.30. Within the past year, TGLS's PEG has been as high as 0.89 and as low as 0.56, with a median of 0.70.

Finally, we should also recognize that TGLS has a P/CF ratio of 9.45. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 15.17. TGLS's P/CF has been as high as 22.51 and as low as 7.74, with a median of 9.11, all within the past year.

These are only a few of the key metrics included in Tecnoglass's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, TGLS looks like an impressive value stock at the moment.


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