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Is Air France (AFLYY) Stock Undervalued 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.
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 to watch right now is Air France (AFLYY - Free Report) . AFLYY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 4.19, which compares to its industry's average of 9.89. Over the past year, AFLYY's Forward P/E has been as high as 7.75 and as low as 3.09, with a median of 4.54.
We also note that AFLYY holds a PEG ratio of 0.45. 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. AFLYY's industry currently sports an average PEG of 0.84. Within the past year, AFLYY's PEG has been as high as 0.59 and as low as 0.16, with a median of 0.33.
Another valuation metric that we should highlight is AFLYY's P/B ratio of 1.29. 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 2.66. Over the past 12 months, AFLYY's P/B has been as high as 2.16 and as low as 1.12, with a median of 1.46.
Finally, our model also underscores that AFLYY has a P/CF ratio of 2.11. 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. AFLYY's P/CF compares to its industry's average P/CF of 5.56. Over the past 52 weeks, AFLYY's P/CF has been as high as 3.75 and as low as 1.17, with a median of 2.15.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Air France is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AFLYY feels like a great value stock at the moment.
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Is Air France (AFLYY) Stock Undervalued Right Now?
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.
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 to watch right now is Air France (AFLYY - Free Report) . AFLYY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 4.19, which compares to its industry's average of 9.89. Over the past year, AFLYY's Forward P/E has been as high as 7.75 and as low as 3.09, with a median of 4.54.
We also note that AFLYY holds a PEG ratio of 0.45. 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. AFLYY's industry currently sports an average PEG of 0.84. Within the past year, AFLYY's PEG has been as high as 0.59 and as low as 0.16, with a median of 0.33.
Another valuation metric that we should highlight is AFLYY's P/B ratio of 1.29. 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 2.66. Over the past 12 months, AFLYY's P/B has been as high as 2.16 and as low as 1.12, with a median of 1.46.
Finally, our model also underscores that AFLYY has a P/CF ratio of 2.11. 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. AFLYY's P/CF compares to its industry's average P/CF of 5.56. Over the past 52 weeks, AFLYY's P/CF has been as high as 3.75 and as low as 1.17, with a median of 2.15.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Air France is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AFLYY feels like a great value stock at the moment.