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Is Cervecerias Unidas (CCU) Stock Undervalued Right Now?
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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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Cervecerias Unidas (CCU - Free Report) . CCU is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 23.61 right now. For comparison, its industry sports an average P/E of 28.88. Over the past year, CCU's Forward P/E has been as high as 26.01 and as low as 13.74, with a median of 22.24.
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. CCU has a P/S ratio of 1.35. This compares to its industry's average P/S of 2.41.
Finally, our model also underscores that CCU has a P/CF ratio of 25.09. 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. CCU's current P/CF looks attractive when compared to its industry's average P/CF of 86.31. Over the past year, CCU's P/CF has been as high as 27.38 and as low as 12.40, with a median of 20.29.
These are just a handful of the figures considered in Cervecerias Unidas'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 CCU is an impressive value stock right now.
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Is Cervecerias Unidas (CCU) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Cervecerias Unidas (CCU - Free Report) . CCU is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 23.61 right now. For comparison, its industry sports an average P/E of 28.88. Over the past year, CCU's Forward P/E has been as high as 26.01 and as low as 13.74, with a median of 22.24.
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. CCU has a P/S ratio of 1.35. This compares to its industry's average P/S of 2.41.
Finally, our model also underscores that CCU has a P/CF ratio of 25.09. 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. CCU's current P/CF looks attractive when compared to its industry's average P/CF of 86.31. Over the past year, CCU's P/CF has been as high as 27.38 and as low as 12.40, with a median of 20.29.
These are just a handful of the figures considered in Cervecerias Unidas'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 CCU is an impressive value stock right now.