Are Investors Undervaluing Marks and Spencer Group (MAKSY) Right Now?

MAKSY TSCDY

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.

Marks and Spencer Group (MAKSY - Free Report) is a stock many investors are watching right now. MAKSY is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 14.80, which compares to its industry's average of 21.21. Over the past 52 weeks, MAKSY's Forward P/E has been as high as 15.50 and as low as 10.14, with a median of 12.28.

We should also highlight that MAKSY has a P/B ratio of 1.94. 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. MAKSY's current P/B looks attractive when compared to its industry's average P/B of 4.15. Over the past year, MAKSY's P/B has been as high as 2.03 and as low as 0.97, with a median of 1.45.

Another great Retail - Supermarkets stock you could consider is Tesco (TSCDY - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.

Shares of Tesco are currently trading at a forward earnings multiple of 13.46 and a PEG ratio of 0.53 compared to its industry's P/E and PEG ratios of 21.21 and 3.16, respectively.

TSCDY's price-to-earnings ratio has been as high as 13.89 and as low as 10.58, with a median of 12.20, while its PEG ratio has been as high as 4.15 and as low as 0.44, with a median of 2.48, all within the past year.

Tesco sports a P/B ratio of 1.73 as well; this compares to its industry's price-to-book ratio of 4.15. In the past 52 weeks, TSCDY's P/B has been as high as 1.78, as low as 1.30, with a median of 1.57.

These are just a handful of the figures considered in Marks and Spencer Group and Tesco's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that MAKSY and TSCDY is an impressive value stock right now.

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