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Should Value Investors Buy H&E Equipment (HEES) Stock?
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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.
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 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.
H&E Equipment (HEES - Free Report) is a stock many investors are watching right now. HEES is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Another notable valuation metric for HEES is its P/B ratio of 3.57. 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 4.28. HEES's P/B has been as high as 6.88 and as low as 2.74, with a median of 5.37, over the past year.
Finally, investors will want to recognize that HEES has a P/CF ratio of 2.92. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. HEES's P/CF compares to its industry's average P/CF of 7.29. HEES's P/CF has been as high as 4.92 and as low as 1.83, with a median of 3.69, all within the past year.
These are only a few of the key metrics included in H&E Equipment'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, HEES looks like an impressive value stock at the moment.
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Should Value Investors Buy H&E Equipment (HEES) Stock?
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.
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 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.
H&E Equipment (HEES - Free Report) is a stock many investors are watching right now. HEES is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Another notable valuation metric for HEES is its P/B ratio of 3.57. 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 4.28. HEES's P/B has been as high as 6.88 and as low as 2.74, with a median of 5.37, over the past year.
Finally, investors will want to recognize that HEES has a P/CF ratio of 2.92. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. HEES's P/CF compares to its industry's average P/CF of 7.29. HEES's P/CF has been as high as 4.92 and as low as 1.83, with a median of 3.69, all within the past year.
These are only a few of the key metrics included in H&E Equipment'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, HEES looks like an impressive value stock at the moment.