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Is Energy Transfer LP (ET) Stock Undervalued Right Now?
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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 use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Energy Transfer LP (ET - Free Report) is a stock many investors are watching right now. ET is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock holds a P/E ratio of 5.18, while its industry has an average P/E of 7.87. Over the past 52 weeks, ET's Forward P/E has been as high as 11.83 and as low as 3.38, with a median of 7.29.
Another notable valuation metric for ET is its P/B ratio of 0.60. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. ET's current P/B looks attractive when compared to its industry's average P/B of 0.97. ET's P/B has been as high as 1.05 and as low as 0.35, with a median of 0.54, over the past year.
Finally, we should also recognize that ET has a P/CF ratio of 5.63. 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. This stock's P/CF looks attractive against its industry's average P/CF of 6.36. ET's P/CF has been as high as 5.82 and as low as 1.77, with a median of 4.18, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Energy Transfer LP is likely undervalued currently. And when considering the strength of its earnings outlook, ET sticks out at as one of the market's strongest value stocks.
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Is Energy Transfer LP (ET) Stock Undervalued 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 use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Energy Transfer LP (ET - Free Report) is a stock many investors are watching right now. ET is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock holds a P/E ratio of 5.18, while its industry has an average P/E of 7.87. Over the past 52 weeks, ET's Forward P/E has been as high as 11.83 and as low as 3.38, with a median of 7.29.
Another notable valuation metric for ET is its P/B ratio of 0.60. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. ET's current P/B looks attractive when compared to its industry's average P/B of 0.97. ET's P/B has been as high as 1.05 and as low as 0.35, with a median of 0.54, over the past year.
Finally, we should also recognize that ET has a P/CF ratio of 5.63. 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. This stock's P/CF looks attractive against its industry's average P/CF of 6.36. ET's P/CF has been as high as 5.82 and as low as 1.77, with a median of 4.18, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Energy Transfer LP is likely undervalued currently. And when considering the strength of its earnings outlook, ET sticks out at as one of the market's strongest value stocks.