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Is MarineMax (HZO) Stock Undervalued 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.

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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.

One company value investors might notice is MarineMax (HZO - Free Report) . HZO is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock is trading with P/E ratio of 5 right now. For comparison, its industry sports an average P/E of 13.29. Over the past 52 weeks, HZO's Forward P/E has been as high as 13.22 and as low as 4.54, with a median of 7.45.

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. HZO has a P/S ratio of 0.41. This compares to its industry's average P/S of 0.68.

Finally, we should also recognize that HZO has a P/CF ratio of 4.91. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 10.90. HZO's P/CF has been as high as 11.14 and as low as 4.46, with a median of 6.92, all within the past year.

Another great Retail - Miscellaneous stock you could consider is Seven and I Holdings Co. (SVNDY - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.

Seven and I Holdings Co. also has a P/B ratio of 1.37 compared to its industry's price-to-book ratio of 9.36. Over the past year, its P/B ratio has been as high as 1.68, as low as 1.31, with a median of 1.46.

These are just a handful of the figures considered in MarineMax and Seven and I Holdings Co.'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 HZO and SVNDY is an impressive value stock right now.


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