Is Gibraltar Industries (ROCK) a Great Value Stock Right Now?

ROCK

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

Gibraltar Industries (ROCK - Free Report) is a stock many investors are watching right now. ROCK is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 13.11, which compares to its industry's average of 13.12. Over the last 12 months, ROCK's Forward P/E has been as high as 22.49 and as low as 10.78, with a median of 13.93.

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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. ROCK has a P/S ratio of 1.01. This compares to its industry's average P/S of 1.2.

Finally, investors should note that ROCK has a P/CF ratio of 13.59. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. ROCK's current P/CF looks attractive when compared to its industry's average P/CF of 15.67. Within the past 12 months, ROCK's P/CF has been as high as 30.49 and as low as 11.32, with a median of 15.67.

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

Free Report Reveals How You Could Profit from the Growing Electric Vehicle Industry

Globally, electric car sales continue their remarkable growth even after breaking records in 2021. High gas prices have fueled his demand, but so has evolving EV comfort, features and technology. So, the fervor for EVs will be around long after gas prices normalize. Not only are manufacturers seeing record-high profits, but producers of EV-related technology are raking in the dough as well. Do you know how to cash in?  If not, we have the perfect report for you – and it’s FREE! Today, don't miss your chance to download Zacks' top 5 stocks for the electric vehicle revolution at no cost and with no obligation.

>>Send me my free report on the top 5 EV stocks<<