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.
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is Flowers Foods (FLO - Free Report) . FLO is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. FLO has a P/S ratio of 1.27. This compares to its industry's average P/S of 1.33.
Finally, investors should note that FLO has a P/CF ratio of 16.40. 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. FLO's current P/CF looks attractive when compared to its industry's average P/CF of 17.69. Over the past year, FLO's P/CF has been as high as 18.08 and as low as 13.36, with a median of 15.76.
If you're looking for another solid Food - Miscellaneous value stock, take a look at Greencore Group (GNCGY - Free Report) . GNCGY is a # 2 (Buy) stock with a Value score of A.
Additionally, Greencore Group has a P/B ratio of 1.16 while its industry's price-to-book ratio sits at 2.25. For GNCGY, this valuation metric has been as high as 2.01, as low as 1.16, with a median of 1.54 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Flowers Foods and Greencore Group are likely undervalued currently. And when considering the strength of its earnings outlook, FLO and GNCGY sticks out as one of the market's strongest value stocks.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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.
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is Flowers Foods (FLO - Free Report) . FLO is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. FLO has a P/S ratio of 1.27. This compares to its industry's average P/S of 1.33.
Finally, investors should note that FLO has a P/CF ratio of 16.40. 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. FLO's current P/CF looks attractive when compared to its industry's average P/CF of 17.69. Over the past year, FLO's P/CF has been as high as 18.08 and as low as 13.36, with a median of 15.76.
If you're looking for another solid Food - Miscellaneous value stock, take a look at Greencore Group (GNCGY - Free Report) . GNCGY is a # 2 (Buy) stock with a Value score of A.
Additionally, Greencore Group has a P/B ratio of 1.16 while its industry's price-to-book ratio sits at 2.25. For GNCGY, this valuation metric has been as high as 2.01, as low as 1.16, with a median of 1.54 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Flowers Foods and Greencore Group are likely undervalued currently. And when considering the strength of its earnings outlook, FLO and GNCGY sticks out as one of the market's strongest value stocks.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on FLO - FREE
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