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Are Investors Undervaluing Fox (FOXA) Right Now?

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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.

Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.

One company to watch right now is Fox (FOXA - Free Report) . FOXA is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 12.41, while its industry has an average P/E of 20.87. Over the past 52 weeks, FOXA's Forward P/E has been as high as 16.98 and as low as 11.16, with a median of 13.13.

Investors should also note that FOXA holds a PEG ratio of 1.41. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. FOXA's PEG compares to its industry's average PEG of 1.90. Over the past 52 weeks, FOXA's PEG has been as high as 7.56 and as low as 0.95, with a median of 1.49.

Finally, our model also underscores that FOXA has a P/CF ratio of 11.32. 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 33.96. Over the past year, FOXA's P/CF has been as high as 14.36 and as low as 8.23, with a median of 9.79.

These are just a handful of the figures considered in Fox'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 FOXA is an impressive value stock right now.


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