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, 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 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.
One stock to keep an eye on is Daimler AG . DDAIF is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 6. This compares to its industry's average Forward P/E of 13.40. Over the past 52 weeks, DDAIF's Forward P/E has been as high as 22.98 and as low as 6, with a median of 8.33.
DDAIF is also sporting a PEG ratio of 0.33. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. DDAIF's PEG compares to its industry's average PEG of 0.84. Over the past 52 weeks, DDAIF's PEG has been as high as 2.41 and as low as 0.33, with a median of 1.09.
We should also highlight that DDAIF has a P/B ratio of 1.13. 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 company's current P/B looks solid when compared to its industry's average P/B of 1.21. DDAIF's P/B has been as high as 1.33 and as low as 0.67, with a median of 1.08, over the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. DDAIF has a P/S ratio of 0.49. This compares to its industry's average P/S of 0.58.
Finally, we should also recognize that DDAIF has a P/CF ratio of 4.62. 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. DDAIF's P/CF compares to its industry's average P/CF of 6.96. Over the past year, DDAIF's P/CF has been as high as 7.64 and as low as 4.53, with a median of 5.78.
These are only a few of the key metrics included in Daimler AG's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, DDAIF looks like an impressive value stock at the moment.
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Should Value Investors Buy Daimler AG (DDAIF) Stock?
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, 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 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.
One stock to keep an eye on is Daimler AG . DDAIF is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 6. This compares to its industry's average Forward P/E of 13.40. Over the past 52 weeks, DDAIF's Forward P/E has been as high as 22.98 and as low as 6, with a median of 8.33.
DDAIF is also sporting a PEG ratio of 0.33. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. DDAIF's PEG compares to its industry's average PEG of 0.84. Over the past 52 weeks, DDAIF's PEG has been as high as 2.41 and as low as 0.33, with a median of 1.09.
We should also highlight that DDAIF has a P/B ratio of 1.13. 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 company's current P/B looks solid when compared to its industry's average P/B of 1.21. DDAIF's P/B has been as high as 1.33 and as low as 0.67, with a median of 1.08, over the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. DDAIF has a P/S ratio of 0.49. This compares to its industry's average P/S of 0.58.
Finally, we should also recognize that DDAIF has a P/CF ratio of 4.62. 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. DDAIF's P/CF compares to its industry's average P/CF of 6.96. Over the past year, DDAIF's P/CF has been as high as 7.64 and as low as 4.53, with a median of 5.78.
These are only a few of the key metrics included in Daimler AG's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, DDAIF looks like an impressive value stock at the moment.