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, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 Commercial Metals (CMC - Free Report) . CMC is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 7.69. This compares to its industry's average Forward P/E of 7.89. Over the past year, CMC's Forward P/E has been as high as 9.05 and as low as 3.85, with a median of 7.24.
Another valuation metric that we should highlight is CMC's P/B ratio of 1.48. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. CMC's current P/B looks attractive when compared to its industry's average P/B of 1.55. Over the past 12 months, CMC's P/B has been as high as 1.87 and as low as 1.26, with a median of 1.51.
Finally, investors should note that CMC has a P/CF ratio of 4.57. 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 7.94. Within the past 12 months, CMC's P/CF has been as high as 5.21 and as low as 3.07, with a median of 4.14.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Commercial Metals is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CMC feels like a great value stock at the moment.
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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.
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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, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 Commercial Metals (CMC - Free Report) . CMC is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 7.69. This compares to its industry's average Forward P/E of 7.89. Over the past year, CMC's Forward P/E has been as high as 9.05 and as low as 3.85, with a median of 7.24.
Another valuation metric that we should highlight is CMC's P/B ratio of 1.48. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. CMC's current P/B looks attractive when compared to its industry's average P/B of 1.55. Over the past 12 months, CMC's P/B has been as high as 1.87 and as low as 1.26, with a median of 1.51.
Finally, investors should note that CMC has a P/CF ratio of 4.57. 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 7.94. Within the past 12 months, CMC's P/CF has been as high as 5.21 and as low as 3.07, with a median of 4.14.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Commercial Metals is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CMC feels like a great value stock at the moment.
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<<
Get the latest research report on CMC - FREE