The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. 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 Bank of Commerce . BOCH is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 9.11. This compares to its industry's average Forward P/E of 12.70. Over the last 12 months, BOCH's Forward P/E has been as high as 13.78 and as low as 6.54, with a median of 11.57.
Investors should also note that BOCH holds a PEG ratio of 1.58. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. BOCH's PEG compares to its industry's average PEG of 1.92.
We should also highlight that BOCH has a P/B ratio of 0.77. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 1.16. Over the past year, BOCH's P/B has been as high as 1.29 and as low as 0.61, with a median of 0.79.
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. BOCH has a P/S ratio of 2.11. This compares to its industry's average P/S of 2.25.
Finally, investors should note that BOCH has a P/CF ratio of 8.68. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. BOCH's current P/CF looks attractive when compared to its industry's average P/CF of 13.83. Within the past 12 months, BOCH's P/CF has been as high as 12.52 and as low as 6.58, with a median of 8.68.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Bank of Commerce is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BOCH feels like a great value stock at the moment.
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Should Value Investors Buy Bank of Commerce (BOCH) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. 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 Bank of Commerce . BOCH is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 9.11. This compares to its industry's average Forward P/E of 12.70. Over the last 12 months, BOCH's Forward P/E has been as high as 13.78 and as low as 6.54, with a median of 11.57.
Investors should also note that BOCH holds a PEG ratio of 1.58. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. BOCH's PEG compares to its industry's average PEG of 1.92.
We should also highlight that BOCH has a P/B ratio of 0.77. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 1.16. Over the past year, BOCH's P/B has been as high as 1.29 and as low as 0.61, with a median of 0.79.
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. BOCH has a P/S ratio of 2.11. This compares to its industry's average P/S of 2.25.
Finally, investors should note that BOCH has a P/CF ratio of 8.68. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. BOCH's current P/CF looks attractive when compared to its industry's average P/CF of 13.83. Within the past 12 months, BOCH's P/CF has been as high as 12.52 and as low as 6.58, with a median of 8.68.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Bank of Commerce is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BOCH feels like a great value stock at the moment.