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Is Herc Holdings (HRI) Stock Undervalued 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.
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 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.
Herc Holdings (HRI - Free Report) is a stock many investors are watching right now. HRI is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
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. HRI has a P/S ratio of 1.04. This compares to its industry's average P/S of 1.63.
Finally, investors will want to recognize that HRI has a P/CF ratio of 3.58. 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. HRI's P/CF compares to its industry's average P/CF of 4.93. Within the past 12 months, HRI's P/CF has been as high as 3.87 and as low as 0.71, with a median of 2.25.
Value investors will likely look at more than just these metrics, but the above data helps show that Herc Holdings is likely undervalued currently. And when considering the strength of its earnings outlook, HRI sticks out at as one of the market's strongest value stocks.
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Is Herc Holdings (HRI) Stock Undervalued 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.
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 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.
Herc Holdings (HRI - Free Report) is a stock many investors are watching right now. HRI is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
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. HRI has a P/S ratio of 1.04. This compares to its industry's average P/S of 1.63.
Finally, investors will want to recognize that HRI has a P/CF ratio of 3.58. 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. HRI's P/CF compares to its industry's average P/CF of 4.93. Within the past 12 months, HRI's P/CF has been as high as 3.87 and as low as 0.71, with a median of 2.25.
Value investors will likely look at more than just these metrics, but the above data helps show that Herc Holdings is likely undervalued currently. And when considering the strength of its earnings outlook, HRI sticks out at as one of the market's strongest value stocks.