Is Criteo S.A. (CRTO) a Great Value Stock Right Now?

CRTO

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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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 Criteo S.A. (CRTO - Free Report) . CRTO is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.

Investors should also note that CRTO holds a PEG ratio of 1.88. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. CRTO's industry has an average PEG of 2.09 right now. CRTO's PEG has been as high as 1.97 and as low as 0.42, with a median of 0.64, all within the past year.

Finally, investors will want to recognize that CRTO has a P/CF ratio of 7.38. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 25.89. Within the past 12 months, CRTO's P/CF has been as high as 12.96 and as low as 6.41, with a median of 8.68.

These are only a few of the key metrics included in Criteo S.A.'s strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, CRTO looks like an impressive value stock at the moment.

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