Is Rose Rock Midstream (RRMS) Stock A Great Combo of Value and Growth?

Value investing is always a very popular strategy, and for good reason. After all, who doesn’t want to find stocks that have low PEs, solid outlooks, and decent dividends?

Fortunately for investors looking for this combination, we have identified a strong candidate which may be an impressive value; Rose Rock Midstream, L.P. .

Rose Rock Midstream in Focus

RRMS may be an interesting play thanks to its forward PE of 16.52, its P/S ratio of 0.98, and its decent dividend yield of 10.9%. These factors suggest that Rose Rock Midstream is a pretty good value pick, as investors have to pay a relatively low level for each dollar of earnings, and that RRMS has decent revenue metrics to back up its earnings.

But before you think that Rose Rock Midstream is just a pure value play, it is important to note that it has been seeing solid activity on the earnings estimate front as well. For current year earnings, the consensus has gone up by 79.3% in the past 60 days, thanks to 5 upward revisions in the past two months compared to none lower.

This estimate strength is actually enough to push RRMS to a Zacks Rank #1 (Strong Buy), suggesting it is poised to outperform. So really, Rose Rock Midstream is looking great from a number of angles thanks to its PE below 20, a P/S ratio below one, and a strong Zacks Rank, meaning that this company could be a great choice for value investors at this time.

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