While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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.
One stock to keep an eye on is Penn Virginia . PVAC is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A.
We should also highlight that PVAC has a 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. PVAC's current P/B looks attractive when compared to its industry's average P/B of 0.86. PVAC's P/B has been as high as 0.60 and as low as 0.03, with a median of 0.30, 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. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. PVAC has a P/S ratio of 0.64. This compares to its industry's average P/S of 1.48.
These are only a few of the key metrics included in Penn Virginia'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, PVAC looks like an impressive value stock at the moment.
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Is Penn Virginia (PVAC) Stock Undervalued Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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.
One stock to keep an eye on is Penn Virginia . PVAC is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A.
We should also highlight that PVAC has a 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. PVAC's current P/B looks attractive when compared to its industry's average P/B of 0.86. PVAC's P/B has been as high as 0.60 and as low as 0.03, with a median of 0.30, 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. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. PVAC has a P/S ratio of 0.64. This compares to its industry's average P/S of 1.48.
These are only a few of the key metrics included in Penn Virginia'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, PVAC looks like an impressive value stock at the moment.