Is Mitsui & Co. (MITSY) Stock Undervalued Right Now?

MITSY

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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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.

One company to watch right now is Mitsui & Co. (MITSY - Free Report) . MITSY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.

Investors should also recognize that MITSY has a P/B ratio of 0.88. Investors use the P/B ratio to look at a stock's market value versus 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 1.20. Over the past year, MITSY's P/B has been as high as 0.88 and as low as 0.54, with a median of 0.74.

Finally, our model also underscores that MITSY has a P/CF ratio of 7.49. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 10.31. Over the past 52 weeks, MITSY's P/CF has been as high as 7.49 and as low as 3.73, with a median of 5.79.

Value investors will likely look at more than just these metrics, but the above data helps show that Mitsui & Co. Is likely undervalued currently. And when considering the strength of its earnings outlook, MITSY sticks out at as one of the market's strongest value stocks.

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