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Are These Finance Stocks a Great Value 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

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.

Braemar Hotels & Resorts (BHR - Free Report) is a stock many investors are watching right now. BHR is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 6.84, which compares to its industry's average of 19.52. Over the past year, BHR's Forward P/E has been as high as 5,840.01 and as low as -806.96, with a median of 6.28.

Investors should also recognize that BHR has a P/B ratio of 1.03. 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. This company's current P/B looks solid when compared to its industry's average P/B of 2.59. Over the past year, BHR's P/B has been as high as 1.10 and as low as 0.65, with a median of 0.85.

Finally, we should also recognize that BHR has a P/CF ratio of 8.38. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 18.24. Over the past year, BHR's P/CF has been as high as 31.70 and as low as -10.33, with a median of 11.31.

Investors could also keep in mind The Necessity Retail REIT, Inc. , an REIT and Equity Trust - Other stock with a Zacks Rank of # 2 (Buy) and Value grade of A.

Shares of The Necessity Retail REIT, Inc. are currently trading at a forward earnings multiple of 7.16 and a PEG ratio of 1.19 compared to its industry's P/E and PEG ratios of 19.52 and 2.54, respectively.


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