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Should Value Investors Buy Molson Coors Brewing (TAP) Stock?
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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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company value investors might notice is Molson Coors Brewing (TAP - Free Report) . TAP is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 9.20, which compares to its industry's average of 23.66. Over the past 52 weeks, TAP's Forward P/E has been as high as 14.59 and as low as 8.81, with a median of 12.
Investors will also notice that TAP has a PEG ratio of 1.53. 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. TAP's PEG compares to its industry's average PEG of 4.13. Over the last 12 months, TAP's PEG has been as high as 2.46 and as low as 1.47, with a median of 2.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. TAP has a P/S ratio of 0.68. This compares to its industry's average P/S of 1.99.
Value investors will likely look at more than just these metrics, but the above data helps show that Molson Coors Brewing is likely undervalued currently. And when considering the strength of its earnings outlook, TAP sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy Molson Coors Brewing (TAP) Stock?
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company value investors might notice is Molson Coors Brewing (TAP - Free Report) . TAP is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 9.20, which compares to its industry's average of 23.66. Over the past 52 weeks, TAP's Forward P/E has been as high as 14.59 and as low as 8.81, with a median of 12.
Investors will also notice that TAP has a PEG ratio of 1.53. 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. TAP's PEG compares to its industry's average PEG of 4.13. Over the last 12 months, TAP's PEG has been as high as 2.46 and as low as 1.47, with a median of 2.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. TAP has a P/S ratio of 0.68. This compares to its industry's average P/S of 1.99.
Value investors will likely look at more than just these metrics, but the above data helps show that Molson Coors Brewing is likely undervalued currently. And when considering the strength of its earnings outlook, TAP sticks out at as one of the market's strongest value stocks.