Back to top

Image: Bigstock

Is Amkor Technology (AMKR) a Great Value Stock Right Now?

Read MoreHide Full Article

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, 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.

Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.

One company to watch right now is Amkor Technology (AMKR - Free Report) . AMKR is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 12.71 right now. For comparison, its industry sports an average P/E of 15.71. Over the past year, AMKR's Forward P/E has been as high as 17.59 and as low as 5.66, with a median of 12.41.

Finally, we should also recognize that AMKR has a P/CF ratio of 6.70. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 26.18. Over the past 52 weeks, AMKR's P/CF has been as high as 7.14 and as low as 2.16, with a median of 3.92.

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

In-Depth Zacks Research for the Tickers Above

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

Amkor Technology, Inc. (AMKR) - free report >>

Published in