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Is First BanCorp. (FBP) a Great Value Stock Right Now?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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.
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 First BanCorp. (FBP - Free Report) . FBP is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 8.85, which compares to its industry's average of 10.28. Over the past 52 weeks, FBP's Forward P/E has been as high as 11.63 and as low as 8.28, with a median of 9.86.
Another notable valuation metric for FBP is its P/B ratio of 1.24. 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. FBP's current P/B looks attractive when compared to its industry's average P/B of 1.65. Over the past year, FBP's P/B has been as high as 1.60 and as low as 1.09, with a median of 1.28.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FBP has a P/S ratio of 2.83. This compares to its industry's average P/S of 3.06.
Finally, our model also underscores that FBP has a P/CF ratio of 8.44. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. FBP's current P/CF looks attractive when compared to its industry's average P/CF of 10.87. Over the past year, FBP's P/CF has been as high as 13.88 and as low as 7.67, with a median of 9.79.
First Guaranty Bancshares (FGBI - Free Report) may be another strong Banks - Southeast stock to add to your shortlist. FGBI is a # 2 (Buy) stock with a Value grade of A.
Additionally, First Guaranty Bancshares has a P/B ratio of 1.30 while its industry's price-to-book ratio sits at 1.65. For FGBI, this valuation metric has been as high as 1.37, as low as 0.94, with a median of 1.10 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that First BanCorp. and First Guaranty Bancshares are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, FBP and FGBI feels like a great value stock at the moment.
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Is First BanCorp. (FBP) a Great Value Stock Right Now?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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.
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 First BanCorp. (FBP - Free Report) . FBP is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 8.85, which compares to its industry's average of 10.28. Over the past 52 weeks, FBP's Forward P/E has been as high as 11.63 and as low as 8.28, with a median of 9.86.
Another notable valuation metric for FBP is its P/B ratio of 1.24. 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. FBP's current P/B looks attractive when compared to its industry's average P/B of 1.65. Over the past year, FBP's P/B has been as high as 1.60 and as low as 1.09, with a median of 1.28.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FBP has a P/S ratio of 2.83. This compares to its industry's average P/S of 3.06.
Finally, our model also underscores that FBP has a P/CF ratio of 8.44. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. FBP's current P/CF looks attractive when compared to its industry's average P/CF of 10.87. Over the past year, FBP's P/CF has been as high as 13.88 and as low as 7.67, with a median of 9.79.
First Guaranty Bancshares (FGBI - Free Report) may be another strong Banks - Southeast stock to add to your shortlist. FGBI is a # 2 (Buy) stock with a Value grade of A.
Additionally, First Guaranty Bancshares has a P/B ratio of 1.30 while its industry's price-to-book ratio sits at 1.65. For FGBI, this valuation metric has been as high as 1.37, as low as 0.94, with a median of 1.10 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that First BanCorp. and First Guaranty Bancshares are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, FBP and FGBI feels like a great value stock at the moment.