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Is Pilgrim's Pride (PPC) 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.
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.
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.
Pilgrim's Pride (PPC - Free Report) is a stock many investors are watching right now. PPC is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with a P/E ratio of 10.84, which compares to its industry's average of 19.57. Over the past year, PPC's Forward P/E has been as high as 16.56 and as low as 7.08, with a median of 10.61.
We also note that PPC holds a PEG ratio of 2.06. 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. PPC's industry has an average PEG of 2.68 right now. PPC's PEG has been as high as 4.56 and as low as 0.41, with a median of 1.64, all within the past year.
We should also highlight that PPC has a P/B ratio of 2.01. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. PPC's current P/B looks attractive when compared to its industry's average P/B of 2.55. PPC's P/B has been as high as 2.66 and as low as 1.47, with a median of 1.84, over the past year.
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. PPC has a P/S ratio of 0.42. This compares to its industry's average P/S of 0.68.
Finally, investors will want to recognize that PPC has a P/CF ratio of 9.52. 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. PPC's current P/CF looks attractive when compared to its industry's average P/CF of 13.38. Over the past 52 weeks, PPC's P/CF has been as high as 9.83 and as low as 5.41, with a median of 7.07.
These are just a handful of the figures considered in Pilgrim's Pride's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that PPC is an impressive value stock right now.
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Is Pilgrim's Pride (PPC) 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.
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.
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.
Pilgrim's Pride (PPC - Free Report) is a stock many investors are watching right now. PPC is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with a P/E ratio of 10.84, which compares to its industry's average of 19.57. Over the past year, PPC's Forward P/E has been as high as 16.56 and as low as 7.08, with a median of 10.61.
We also note that PPC holds a PEG ratio of 2.06. 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. PPC's industry has an average PEG of 2.68 right now. PPC's PEG has been as high as 4.56 and as low as 0.41, with a median of 1.64, all within the past year.
We should also highlight that PPC has a P/B ratio of 2.01. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. PPC's current P/B looks attractive when compared to its industry's average P/B of 2.55. PPC's P/B has been as high as 2.66 and as low as 1.47, with a median of 1.84, over the past year.
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. PPC has a P/S ratio of 0.42. This compares to its industry's average P/S of 0.68.
Finally, investors will want to recognize that PPC has a P/CF ratio of 9.52. 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. PPC's current P/CF looks attractive when compared to its industry's average P/CF of 13.38. Over the past 52 weeks, PPC's P/CF has been as high as 9.83 and as low as 5.41, with a median of 7.07.
These are just a handful of the figures considered in Pilgrim's Pride's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that PPC is an impressive value stock right now.