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Should Value Investors Buy Industrias Bachoco (IBA) Stock?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
One stock to keep an eye on is Industrias Bachoco (IBA - Free Report) . IBA is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 12.11 right now. For comparison, its industry sports an average P/E of 19.02. IBA's Forward P/E has been as high as 14.02 and as low as 9.39, with a median of 11.14, all within the past year.
Another valuation metric that we should highlight is IBA's P/B ratio of 1. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 2.55. IBA's P/B has been as high as 1.15 and as low as 0.86, with a median of 0.98, over the past year.
Finally, investors should note that IBA has a P/CF ratio of 8.72. 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. This stock's P/CF looks attractive against its industry's average P/CF of 13.38. Within the past 12 months, IBA's P/CF has been as high as 9.71 and as low as 4.60, with a median of 7.90.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Industrias Bachoco is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, IBA feels like a great value stock at the moment.
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Should Value Investors Buy Industrias Bachoco (IBA) Stock?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
One stock to keep an eye on is Industrias Bachoco (IBA - Free Report) . IBA is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 12.11 right now. For comparison, its industry sports an average P/E of 19.02. IBA's Forward P/E has been as high as 14.02 and as low as 9.39, with a median of 11.14, all within the past year.
Another valuation metric that we should highlight is IBA's P/B ratio of 1. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 2.55. IBA's P/B has been as high as 1.15 and as low as 0.86, with a median of 0.98, over the past year.
Finally, investors should note that IBA has a P/CF ratio of 8.72. 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. This stock's P/CF looks attractive against its industry's average P/CF of 13.38. Within the past 12 months, IBA's P/CF has been as high as 9.71 and as low as 4.60, with a median of 7.90.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Industrias Bachoco is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, IBA feels like a great value stock at the moment.