Back to top

Image: Bigstock

Should Value Investors Buy Athene Holding (ATH) Stock?

Read MoreHide Full Article

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

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.

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.

Athene Holding (ATH - Free Report) is a stock many investors are watching right now. ATH is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 6.14. This compares to its industry's average Forward P/E of 8.26. Over the past 52 weeks, ATH's Forward P/E has been as high as 6.54 and as low as 3.63, with a median of 5.24.

Investors should also recognize that ATH has a P/B ratio of 0.48. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. ATH's current P/B looks attractive when compared to its industry's average P/B of 1.32. Over the past 12 months, ATH's P/B has been as high as 0.69 and as low as 0.34, with a median of 0.45.

Finally, our model also underscores that ATH has a P/CF ratio of 5.17. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 10.84. Within the past 12 months, ATH's P/CF has been as high as 8.75 and as low as 4.16, with a median of 6.64.

These are just a handful of the figures considered in Athene Holding'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 ATH is an impressive value stock right now.


In-Depth Zacks Research for the Tickers Above


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


Athene Holding Ltd. (ATH) - free report >>

Published in