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Should Value Investors Buy AU Optronics (AUOTY) Stock?
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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, 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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
AU Optronics (AUOTY - Free Report) is a stock many investors are watching right now. AUOTY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A.
Investors should also recognize that AUOTY has a P/B ratio of 1.30. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 3.62. Over the past 12 months, AUOTY's P/B has been as high as 2.08 and as low as 0.47, with a median of 0.79.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. AUOTY has a P/S ratio of 0.95. This compares to its industry's average P/S of 1.78.
Finally, our model also underscores that AUOTY has a P/CF ratio of 14.76. 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. AUOTY's P/CF compares to its industry's average P/CF of 21.18. Over the past 52 weeks, AUOTY's P/CF has been as high as 23.54 and as low as 5.32, with a median of 8.89.
These are just a handful of the figures considered in AU Optronics'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 AUOTY is an impressive value stock right now.
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Should Value Investors Buy AU Optronics (AUOTY) Stock?
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, 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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
AU Optronics (AUOTY - Free Report) is a stock many investors are watching right now. AUOTY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A.
Investors should also recognize that AUOTY has a P/B ratio of 1.30. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 3.62. Over the past 12 months, AUOTY's P/B has been as high as 2.08 and as low as 0.47, with a median of 0.79.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. AUOTY has a P/S ratio of 0.95. This compares to its industry's average P/S of 1.78.
Finally, our model also underscores that AUOTY has a P/CF ratio of 14.76. 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. AUOTY's P/CF compares to its industry's average P/CF of 21.18. Over the past 52 weeks, AUOTY's P/CF has been as high as 23.54 and as low as 5.32, with a median of 8.89.
These are just a handful of the figures considered in AU Optronics'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 AUOTY is an impressive value stock right now.