Are Investors Undervaluing Sony (SNE) Right Now?

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

Sony is a stock many investors are watching right now. SNE is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock holds a P/E ratio of 15.69, while its industry has an average P/E of 16.90. Over the past 52 weeks, SNE's Forward P/E has been as high as 15.80 and as low as 6.87, with a median of 13.77.

Value investors will likely look at more than just these metrics, but the above data helps show that Sony is likely undervalued currently. And when considering the strength of its earnings outlook, SNE sticks out at as one of the market's strongest value stocks.

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