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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
MetLife (MET - Free Report) is a stock many investors are watching right now. MET is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 8.53. This compares to its industry's average Forward P/E of 10.02. Over the past year, MET's Forward P/E has been as high as 11.99 and as low as 8.22, with a median of 9.37.
We also note that MET holds a PEG ratio of 0.68. 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. MET's PEG compares to its industry's average PEG of 1.02. Over the last 12 months, MET's PEG has been as high as 1.33 and as low as 0.65, with a median of 0.94.
Investors should also recognize that MET has a P/B ratio of 0.87. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 1.47. Over the past year, MET's P/B has been as high as 1.04 and as low as 0.72, with a median of 0.85.
These figures are just a handful of the metrics value investors tend to look at, but they help show that MetLife is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, MET feels like a great value stock at the moment.
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Should Value Investors Buy MetLife (MET) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
MetLife (MET - Free Report) is a stock many investors are watching right now. MET is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 8.53. This compares to its industry's average Forward P/E of 10.02. Over the past year, MET's Forward P/E has been as high as 11.99 and as low as 8.22, with a median of 9.37.
We also note that MET holds a PEG ratio of 0.68. 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. MET's PEG compares to its industry's average PEG of 1.02. Over the last 12 months, MET's PEG has been as high as 1.33 and as low as 0.65, with a median of 0.94.
Investors should also recognize that MET has a P/B ratio of 0.87. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 1.47. Over the past year, MET's P/B has been as high as 1.04 and as low as 0.72, with a median of 0.85.
These figures are just a handful of the metrics value investors tend to look at, but they help show that MetLife is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, MET feels like a great value stock at the moment.