Back to top

Image: Bigstock

Is Daseke (DSKE) a Great Value Stock Right Now?

Read MoreHide Full Article

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.

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 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.

One company value investors might notice is Daseke (DSKE - Free Report) . DSKE is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.31, which compares to its industry's average of 10.27. Over the last 12 months, DSKE's Forward P/E has been as high as 44.88 and as low as -405.50, with a median of 10.89.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. DSKE has a P/S ratio of 0.36. This compares to its industry's average P/S of 0.88.

If you're looking for another solid Transportation - Services value stock, take a look at Hub Group (HUBG - Free Report) . HUBG is a # 2 (Buy) stock with a Value score of A.

Hub Group sports a P/B ratio of 1.79 as well; this compares to its industry's price-to-book ratio of 3.72. In the past 52 weeks, HUBG's P/B has been as high as 2.40, as low as 1.49, with a median of 2.

These are just a handful of the figures considered in Daseke and Hub Group'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 DSKE and HUBG is an impressive value stock right now.

In-Depth Zacks Research for the Tickers Above

Normally $25 each - click below to receive one report FREE:

Hub Group, Inc. (HUBG) - free report >>

Daseke, Inc. (DSKE) - free report >>

Published in