Back to top

Image: Bigstock

Are Investors Undervaluing TEGNA Inc. (TGNA) Right Now?

Read MoreHide Full Article

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.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

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 to watch right now is TEGNA Inc. (TGNA - Free Report) . TGNA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.

Investors will also notice that TGNA has a PEG ratio of 0.97. 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. TGNA's industry has an average PEG of 2.47 right now. Over the last 12 months, TGNA's PEG has been as high as 0.98 and as low as 0.46, with a median of 0.75.

Finally, we should also recognize that TGNA has a P/CF ratio of 8.53. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. TGNA's P/CF compares to its industry's average P/CF of 23.95. Over the past year, TGNA's P/CF has been as high as 9.85 and as low as 5.29, with a median of 6.86.

These are just a handful of the figures considered in TEGNA Inc.'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 TGNA is an impressive value stock right now.


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


TEGNA Inc. (TGNA) - free report >>

Published in