We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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.
One stock to keep an eye on is Tronox (TROX - Free Report) . TROX is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock holds a P/E ratio of 8.97, while its industry has an average P/E of 12.93. Over the past year, TROX's Forward P/E has been as high as 14.75 and as low as 7.74, with a median of 10.33.
We should also highlight that TROX has a P/B ratio of 1.95. 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 2.58. Over the past year, TROX's P/B has been as high as 2.02 and as low as 1.12, with a median of 1.71.
Finally, our model also underscores that TROX has a P/CF ratio of 7.04. 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. TROX's P/CF compares to its industry's average P/CF of 11.67. Over the past year, TROX's P/CF has been as high as 7.31 and as low as 1.68, with a median of 2.58.
Value investors will likely look at more than just these metrics, but the above data helps show that Tronox is likely undervalued currently. And when considering the strength of its earnings outlook, TROX sticks out at as one of the market's strongest value stocks.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Is Tronox (TROX) a Great Value Stock Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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.
One stock to keep an eye on is Tronox (TROX - Free Report) . TROX is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock holds a P/E ratio of 8.97, while its industry has an average P/E of 12.93. Over the past year, TROX's Forward P/E has been as high as 14.75 and as low as 7.74, with a median of 10.33.
We should also highlight that TROX has a P/B ratio of 1.95. 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 2.58. Over the past year, TROX's P/B has been as high as 2.02 and as low as 1.12, with a median of 1.71.
Finally, our model also underscores that TROX has a P/CF ratio of 7.04. 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. TROX's P/CF compares to its industry's average P/CF of 11.67. Over the past year, TROX's P/CF has been as high as 7.31 and as low as 1.68, with a median of 2.58.
Value investors will likely look at more than just these metrics, but the above data helps show that Tronox is likely undervalued currently. And when considering the strength of its earnings outlook, TROX sticks out at as one of the market's strongest value stocks.