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Are Investors Undervaluing Amerigo Resources (ARREF) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
Amerigo Resources (ARREF - Free Report) is a stock many investors are watching right now. ARREF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 6.59, while its industry has an average P/E of 10.22. Over the past year, ARREF's Forward P/E has been as high as 9.86 and as low as 1.22, with a median of 7.79.
Investors will also notice that ARREF has a PEG ratio of 0.26. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. ARREF's industry has an average PEG of 0.47 right now. ARREF's PEG has been as high as 0.39 and as low as 0.05, with a median of 0.31, all within the past year.
Another valuation metric that we should highlight is ARREF's P/B ratio of 1.36. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 1.96. Within the past 52 weeks, ARREF's P/B has been as high as 1.93 and as low as 1.19, with a median of 1.44.
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. ARREF has a P/S ratio of 0.93. This compares to its industry's average P/S of 1.55.
Finally, we should also recognize that ARREF has a P/CF ratio of 3.25. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. ARREF's current P/CF looks attractive when compared to its industry's average P/CF of 6.39. Over the past year, ARREF's P/CF has been as high as 4.76 and as low as 2.89, with a median of 3.64.
Another great Mining - Non Ferrous stock you could consider is Centrus Energy (LEU - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Centrus Energy sports a P/B ratio of -2.74 as well; this compares to its industry's price-to-book ratio of 1.96. In the past 52 weeks, LEU's P/B has been as high as -1.14, as low as -5.34, with a median of -3.13.
Value investors will likely look at more than just these metrics, but the above data helps show that Amerigo Resources and Centrus Energy are likely undervalued currently. And when considering the strength of its earnings outlook, ARREF and LEU sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing Amerigo Resources (ARREF) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
Amerigo Resources (ARREF - Free Report) is a stock many investors are watching right now. ARREF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 6.59, while its industry has an average P/E of 10.22. Over the past year, ARREF's Forward P/E has been as high as 9.86 and as low as 1.22, with a median of 7.79.
Investors will also notice that ARREF has a PEG ratio of 0.26. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. ARREF's industry has an average PEG of 0.47 right now. ARREF's PEG has been as high as 0.39 and as low as 0.05, with a median of 0.31, all within the past year.
Another valuation metric that we should highlight is ARREF's P/B ratio of 1.36. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 1.96. Within the past 52 weeks, ARREF's P/B has been as high as 1.93 and as low as 1.19, with a median of 1.44.
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. ARREF has a P/S ratio of 0.93. This compares to its industry's average P/S of 1.55.
Finally, we should also recognize that ARREF has a P/CF ratio of 3.25. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. ARREF's current P/CF looks attractive when compared to its industry's average P/CF of 6.39. Over the past year, ARREF's P/CF has been as high as 4.76 and as low as 2.89, with a median of 3.64.
Another great Mining - Non Ferrous stock you could consider is Centrus Energy (LEU - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Centrus Energy sports a P/B ratio of -2.74 as well; this compares to its industry's price-to-book ratio of 1.96. In the past 52 weeks, LEU's P/B has been as high as -1.14, as low as -5.34, with a median of -3.13.
Value investors will likely look at more than just these metrics, but the above data helps show that Amerigo Resources and Centrus Energy are likely undervalued currently. And when considering the strength of its earnings outlook, ARREF and LEU sticks out as one of the market's strongest value stocks.