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Are Investors Undervaluing These Retail-Wholesale Stocks 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, 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
One company value investors might notice is Marks and Spencer Group (MAKSY - Free Report) . MAKSY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 10.43. This compares to its industry's average Forward P/E of 19.05. Over the last 12 months, MAKSY's Forward P/E has been as high as 54.10 and as low as 9.09, with a median of 11.76.
Another valuation metric that we should highlight is MAKSY's P/B ratio of 1.76. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. MAKSY's current P/B looks attractive when compared to its industry's average P/B of 3.20. Within the past 52 weeks, MAKSY's P/B has been as high as 2.31 and as low as 0.98, with a median of 1.49.
Another great Retail - Supermarkets stock you could consider is Tesco (TSCDY - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Tesco is currently trading with a Forward P/E ratio of 12.78 while its PEG ratio sits at 0.39. Both of the company's metrics compare favorably to its industry's average P/E of 19.05 and average PEG ratio of 2.40.
Over the past year, TSCDY's P/E has been as high as 18.18, as low as 9.73, with a median of 12.41; its PEG ratio has been as high as 2.94, as low as 0.38, with a median of 0.19 during the same time period.
Furthermore, Tesco holds a P/B ratio of 1.66 and its industry's price-to-book ratio is 3.20. TSCDY's P/B has been as high as 1.97, as low as 1.43, with a median of 1.57 over the past 12 months.
Value investors will likely look at more than just these metrics, but the above data helps show that Marks and Spencer Group and Tesco are likely undervalued currently. And when considering the strength of its earnings outlook, MAKSY and TSCDY sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing These Retail-Wholesale Stocks 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, 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
One company value investors might notice is Marks and Spencer Group (MAKSY - Free Report) . MAKSY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 10.43. This compares to its industry's average Forward P/E of 19.05. Over the last 12 months, MAKSY's Forward P/E has been as high as 54.10 and as low as 9.09, with a median of 11.76.
Another valuation metric that we should highlight is MAKSY's P/B ratio of 1.76. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. MAKSY's current P/B looks attractive when compared to its industry's average P/B of 3.20. Within the past 52 weeks, MAKSY's P/B has been as high as 2.31 and as low as 0.98, with a median of 1.49.
Another great Retail - Supermarkets stock you could consider is Tesco (TSCDY - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Tesco is currently trading with a Forward P/E ratio of 12.78 while its PEG ratio sits at 0.39. Both of the company's metrics compare favorably to its industry's average P/E of 19.05 and average PEG ratio of 2.40.
Over the past year, TSCDY's P/E has been as high as 18.18, as low as 9.73, with a median of 12.41; its PEG ratio has been as high as 2.94, as low as 0.38, with a median of 0.19 during the same time period.
Furthermore, Tesco holds a P/B ratio of 1.66 and its industry's price-to-book ratio is 3.20. TSCDY's P/B has been as high as 1.97, as low as 1.43, with a median of 1.57 over the past 12 months.
Value investors will likely look at more than just these metrics, but the above data helps show that Marks and Spencer Group and Tesco are likely undervalued currently. And when considering the strength of its earnings outlook, MAKSY and TSCDY sticks out as one of the market's strongest value stocks.