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Are Investors Undervaluing Dick's Sporting Goods (DKS) Right Now?
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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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Dick's Sporting Goods (DKS - Free Report) . DKS is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 13.60. This compares to its industry's average Forward P/E of 16.68. Over the last 12 months, DKS's Forward P/E has been as high as 30.38 and as low as 4.34, with a median of 13.40.
Another valuation metric that we should highlight is DKS's P/B ratio of 2.86. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 5.76. Over the past year, DKS's P/B has been as high as 2.91 and as low as 0.81, with a median of 2.15.
Finally, investors will want to recognize that DKS has a P/CF ratio of 9.30. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. DKS's P/CF compares to its industry's average P/CF of 14.79. Within the past 12 months, DKS's P/CF has been as high as 10.10 and as low as 2.54, with a median of 7.66.
These are only a few of the key metrics included in Dick's Sporting Goods'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, DKS looks like an impressive value stock at the moment.
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Are Investors Undervaluing Dick's Sporting Goods (DKS) Right Now?
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Dick's Sporting Goods (DKS - Free Report) . DKS is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 13.60. This compares to its industry's average Forward P/E of 16.68. Over the last 12 months, DKS's Forward P/E has been as high as 30.38 and as low as 4.34, with a median of 13.40.
Another valuation metric that we should highlight is DKS's P/B ratio of 2.86. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 5.76. Over the past year, DKS's P/B has been as high as 2.91 and as low as 0.81, with a median of 2.15.
Finally, investors will want to recognize that DKS has a P/CF ratio of 9.30. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. DKS's P/CF compares to its industry's average P/CF of 14.79. Within the past 12 months, DKS's P/CF has been as high as 10.10 and as low as 2.54, with a median of 7.66.
These are only a few of the key metrics included in Dick's Sporting Goods'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, DKS looks like an impressive value stock at the moment.