Looking for Value? Why It Might Be Time to Try Denso Corp. (DNZOY)

DNZOY

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; Denso Corporation (DNZOY - Free Report) .

Denso Corp. in Focus

DNZOY may be an interesting play thanks to its forward PE of 16.75, its P/S ratio of 0.88, and its decent dividend yield of 1.85%. These factors suggest that Denso Corp. is a pretty good value pick, as investors have to pay a relatively low level for each dollar of earnings, and that DNZOY has decent revenue metrics to back up its earnings.

Denso Corp. PE Ratio (TTM)

But before you think that Denso Corp. 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 9.5% in the past 30 days, thanks to one upward revision in the past one month compared to none lower.

This estimate strength is actually enough to push DNZOY to a Zacks Rank #2 (Buy), suggesting it is poised to outperform. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

So really, Denso Corp. 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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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.

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