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Are Investors Undervaluing Nomad Foods Limited (NOMD) 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Nomad Foods Limited (NOMD - Free Report) is a stock many investors are watching right now. NOMD is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 10.19. This compares to its industry's average Forward P/E of 17.80. Over the last 12 months, NOMD's Forward P/E has been as high as 15.87 and as low as 9.94, with a median of 13.78.
Another valuation metric that we should highlight is NOMD's P/B ratio of 1.29. The P/B ratio is used to compare a stock's market value with 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 2.06. Within the past 52 weeks, NOMD's P/B has been as high as 2.31 and as low as 1.26, with a median of 1.72.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. NOMD has a P/S ratio of 1.18. This compares to its industry's average P/S of 1.37.
Finally, investors will want to recognize that NOMD has a P/CF ratio of 12.14. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 16.22. Over the past year, NOMD's P/CF has been as high as 16.31 and as low as 11.83, with a median of 14.79.
These are just a handful of the figures considered in Nomad Foods Limited'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 NOMD is an impressive value stock right now.
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Are Investors Undervaluing Nomad Foods Limited (NOMD) 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Nomad Foods Limited (NOMD - Free Report) is a stock many investors are watching right now. NOMD is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 10.19. This compares to its industry's average Forward P/E of 17.80. Over the last 12 months, NOMD's Forward P/E has been as high as 15.87 and as low as 9.94, with a median of 13.78.
Another valuation metric that we should highlight is NOMD's P/B ratio of 1.29. The P/B ratio is used to compare a stock's market value with 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 2.06. Within the past 52 weeks, NOMD's P/B has been as high as 2.31 and as low as 1.26, with a median of 1.72.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. NOMD has a P/S ratio of 1.18. This compares to its industry's average P/S of 1.37.
Finally, investors will want to recognize that NOMD has a P/CF ratio of 12.14. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 16.22. Over the past year, NOMD's P/CF has been as high as 16.31 and as low as 11.83, with a median of 14.79.
These are just a handful of the figures considered in Nomad Foods Limited'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 NOMD is an impressive value stock right now.