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Is Peabody Energy (BTU) Stock Undervalued Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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.
Peabody Energy (BTU - Free Report) is a stock many investors are watching right now. BTU is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
We should also highlight that BTU has a P/B ratio of 1.12. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. BTU's current P/B looks attractive when compared to its industry's average P/B of 1.36. Over the past year, BTU's P/B has been as high as 1.69 and as low as 1.03, with a median of 1.34.
Finally, our model also underscores that BTU has a P/CF ratio of 2.71. 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. BTU's current P/CF looks attractive when compared to its industry's average P/CF of 2.85. Over the past year, BTU's P/CF has been as high as 5.03 and as low as 2.51, with a median of 3.28.
These are just a handful of the figures considered in Peabody Energy's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that BTU is an impressive value stock right now.
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Is Peabody Energy (BTU) Stock Undervalued Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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.
Peabody Energy (BTU - Free Report) is a stock many investors are watching right now. BTU is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
We should also highlight that BTU has a P/B ratio of 1.12. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. BTU's current P/B looks attractive when compared to its industry's average P/B of 1.36. Over the past year, BTU's P/B has been as high as 1.69 and as low as 1.03, with a median of 1.34.
Finally, our model also underscores that BTU has a P/CF ratio of 2.71. 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. BTU's current P/CF looks attractive when compared to its industry's average P/CF of 2.85. Over the past year, BTU's P/CF has been as high as 5.03 and as low as 2.51, with a median of 3.28.
These are just a handful of the figures considered in Peabody Energy's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that BTU is an impressive value stock right now.