While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
One company value investors might notice is 58.com Inc. . WUBA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 20.33 right now. For comparison, its industry sports an average P/E of 46.29. Over the last 12 months, WUBA's Forward P/E has been as high as 25.53 and as low as 10.94, with a median of 19.99.
WUBA is also sporting a PEG ratio of 0.98. 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. WUBA's industry has an average PEG of 2.54 right now. Over the past 52 weeks, WUBA's PEG has been as high as 1.23 and as low as 0.52, with a median of 0.95.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. WUBA has a P/S ratio of 3.8. This compares to its industry's average P/S of 3.89.
These are only a few of the key metrics included in 58.com Inc.'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, WUBA looks like an impressive value stock at the moment.
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Is 58.com Inc. (WUBA) Stock Undervalued Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
One company value investors might notice is 58.com Inc. . WUBA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 20.33 right now. For comparison, its industry sports an average P/E of 46.29. Over the last 12 months, WUBA's Forward P/E has been as high as 25.53 and as low as 10.94, with a median of 19.99.
WUBA is also sporting a PEG ratio of 0.98. 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. WUBA's industry has an average PEG of 2.54 right now. Over the past 52 weeks, WUBA's PEG has been as high as 1.23 and as low as 0.52, with a median of 0.95.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. WUBA has a P/S ratio of 3.8. This compares to its industry's average P/S of 3.89.
These are only a few of the key metrics included in 58.com Inc.'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, WUBA looks like an impressive value stock at the moment.