Are Investors Undervaluing Fox (FOXA) Right Now?

FOXA

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 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.

One company value investors might notice is Fox (FOXA - Free Report) . FOXA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 8.59, while its industry has an average P/E of 25.13. Over the past year, FOXA's Forward P/E has been as high as 11.55 and as low as 8.42, with a median of 10.20.

Finally, investors will want to recognize that FOXA has a P/CF ratio of 10.22. 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. FOXA's current P/CF looks attractive when compared to its industry's average P/CF of 11.34. Over the past year, FOXA's P/CF has been as high as 11.91 and as low as 8.57, with a median of 10.24.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Fox is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, FOXA feels like a great value stock at the moment.

Zacks Reveals ChatGPT "Sleeper" Stock

One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.

As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more.

Download Free ChatGPT Stock Report Right Now >>