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Is BancorpSouth Bank (CADE) Stock Undervalued Right Now?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
BancorpSouth Bank (CADE - Free Report) is a stock many investors are watching right now. CADE is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 9.39, while its industry has an average P/E of 10.70. Over the last 12 months, CADE's Forward P/E has been as high as 15.94 and as low as 8.95, with a median of 11.20.
Investors should also recognize that CADE has a P/B ratio of 0.59. 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. CADE's current P/B looks attractive when compared to its industry's average P/B of 1.71. Within the past 52 weeks, CADE's P/B has been as high as 1.23 and as low as 0.56, with a median of 1.09.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CADE has a P/S ratio of 2.4. This compares to its industry's average P/S of 3.15.
Investar Holding Corp. (ISTR - Free Report) may be another strong Banks - Southeast stock to add to your shortlist. ISTR is a # 2 (Buy) stock with a Value grade of A.
Additionally, Investar Holding Corp. has a P/B ratio of 0.80 while its industry's price-to-book ratio sits at 1.71. For ISTR, this valuation metric has been as high as 1, as low as 0.77, with a median of 0.87 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that BancorpSouth Bank and Investar Holding Corp. are likely undervalued currently. And when considering the strength of its earnings outlook, CADE and ISTR sticks out as one of the market's strongest value stocks.
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Is BancorpSouth Bank (CADE) Stock Undervalued Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
BancorpSouth Bank (CADE - Free Report) is a stock many investors are watching right now. CADE is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 9.39, while its industry has an average P/E of 10.70. Over the last 12 months, CADE's Forward P/E has been as high as 15.94 and as low as 8.95, with a median of 11.20.
Investors should also recognize that CADE has a P/B ratio of 0.59. 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. CADE's current P/B looks attractive when compared to its industry's average P/B of 1.71. Within the past 52 weeks, CADE's P/B has been as high as 1.23 and as low as 0.56, with a median of 1.09.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CADE has a P/S ratio of 2.4. This compares to its industry's average P/S of 3.15.
Investar Holding Corp. (ISTR - Free Report) may be another strong Banks - Southeast stock to add to your shortlist. ISTR is a # 2 (Buy) stock with a Value grade of A.
Additionally, Investar Holding Corp. has a P/B ratio of 0.80 while its industry's price-to-book ratio sits at 1.71. For ISTR, this valuation metric has been as high as 1, as low as 0.77, with a median of 0.87 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that BancorpSouth Bank and Investar Holding Corp. are likely undervalued currently. And when considering the strength of its earnings outlook, CADE and ISTR sticks out as one of the market's strongest value stocks.