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Is Buckle (BKE) Stock Undervalued Right Now?

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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.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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.

Buckle (BKE - Free Report) is a stock many investors are watching right now. BKE is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 11.98. This compares to its industry's average Forward P/E of 19.18. Over the past 52 weeks, BKE's Forward P/E has been as high as 17.83 and as low as 10.19, with a median of 13.29.

Another valuation metric that we should highlight is BKE's P/B ratio of 5.03. 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. BKE's current P/B looks attractive when compared to its industry's average P/B of 6.67. Within the past 52 weeks, BKE's P/B has been as high as 5.67 and as low as 1.95, with a median of 4.59.

Value investors will likely look at more than just these metrics, but the above data helps show that Buckle is likely undervalued currently. And when considering the strength of its earnings outlook, BKE sticks out at as one of the market's strongest value stocks.


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