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Should Value Investors Buy Citizens Community Bancorp, Inc. (CZWI) Stock?

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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.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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 value investors might notice is Citizens Community Bancorp, Inc. (CZWI - Free Report) . CZWI is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 9.54, while its industry has an average P/E of 13.57. Over the past 52 weeks, CZWI's Forward P/E has been as high as 10.98 and as low as 5.09, with a median of 8.13.

Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by 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. CZWI has a P/S ratio of 1.54. This compares to its industry's average P/S of 2.64.

Finally, investors will want to recognize that CZWI has a P/CF ratio of 6.21. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 8.23. Within the past 12 months, CZWI's P/CF has been as high as 9.24 and as low as 3.64, with a median of 4.78.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Citizens Community Bancorp, Inc. Is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CZWI feels like a great value stock at the moment.


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