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Are Investors Undervaluing Tyson Foods (TSN) 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Tyson Foods (TSN - Free Report) . TSN is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 10.19. This compares to its industry's average Forward P/E of 13.12. TSN's Forward P/E has been as high as 14.28 and as low as 8.38, with a median of 10.53, all within the past year.
Investors should also note that TSN holds a PEG ratio of 0.93. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. TSN's PEG compares to its industry's average PEG of 1.39. Over the last 12 months, TSN's PEG has been as high as 1.08 and as low as 0.76, with a median of 0.93.
Investors should also recognize that TSN has a P/B ratio of 1.81. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 2.60. TSN's P/B has been as high as 2.91 and as low as 1.69, with a median of 2.16, over the past year.
Finally, we should also recognize that TSN has a P/CF ratio of 5.98. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 9.48. TSN's P/CF has been as high as 12.17 and as low as 5.59, with a median of 7.24, all within the past year.
These are only a few of the key metrics included in Tyson Foods'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, TSN looks like an impressive value stock at the moment.
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Are Investors Undervaluing Tyson Foods (TSN) 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Tyson Foods (TSN - Free Report) . TSN is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 10.19. This compares to its industry's average Forward P/E of 13.12. TSN's Forward P/E has been as high as 14.28 and as low as 8.38, with a median of 10.53, all within the past year.
Investors should also note that TSN holds a PEG ratio of 0.93. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. TSN's PEG compares to its industry's average PEG of 1.39. Over the last 12 months, TSN's PEG has been as high as 1.08 and as low as 0.76, with a median of 0.93.
Investors should also recognize that TSN has a P/B ratio of 1.81. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 2.60. TSN's P/B has been as high as 2.91 and as low as 1.69, with a median of 2.16, over the past year.
Finally, we should also recognize that TSN has a P/CF ratio of 5.98. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 9.48. TSN's P/CF has been as high as 12.17 and as low as 5.59, with a median of 7.24, all within the past year.
These are only a few of the key metrics included in Tyson Foods'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, TSN looks like an impressive value stock at the moment.