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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, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 Jabil (JBL - Free Report) . JBL is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 10.12, which compares to its industry's average of 15.90. JBL's Forward P/E has been as high as 13.65 and as low as 6.53, with a median of 9.30, all within the past year.
JBL is also sporting a PEG ratio of 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. JBL's PEG compares to its industry's average PEG of 1.27. Over the past 52 weeks, JBL's PEG has been as high as 1.14 and as low as 0.54, with a median of 0.78.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. JBL has a P/S ratio of 0.28. This compares to its industry's average P/S of 0.4.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Jabil is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, JBL feels like a great value stock at the moment.
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Are Investors Undervaluing Jabil (JBL) 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, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 Jabil (JBL - Free Report) . JBL is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 10.12, which compares to its industry's average of 15.90. JBL's Forward P/E has been as high as 13.65 and as low as 6.53, with a median of 9.30, all within the past year.
JBL is also sporting a PEG ratio of 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. JBL's PEG compares to its industry's average PEG of 1.27. Over the past 52 weeks, JBL's PEG has been as high as 1.14 and as low as 0.54, with a median of 0.78.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. JBL has a P/S ratio of 0.28. This compares to its industry's average P/S of 0.4.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Jabil is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, JBL feels like a great value stock at the moment.