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Is ASE Technology (ASX) 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.
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 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.
ASE Technology (ASX - Free Report) is a stock many investors are watching right now. ASX is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 7.30. This compares to its industry's average Forward P/E of 14.07. Over the past 52 weeks, ASX's Forward P/E has been as high as 11.96 and as low as 6.97, with a median of 8.31.
Investors should also note that ASX holds a PEG ratio of 0.28. 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. ASX's PEG compares to its industry's average PEG of 0.53. Over the past 52 weeks, ASX's PEG has been as high as 0.80 and as low as 0.26, with a median of 0.32.
Another notable valuation metric for ASX is its P/B ratio of 1.52. 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. This stock's P/B looks solid versus its industry's average P/B of 4.28. Within the past 52 weeks, ASX's P/B has been as high as 2.31 and as low as 1.44, with a median of 1.76.
These figures are just a handful of the metrics value investors tend to look at, but they help show that ASE Technology is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ASX feels like a great value stock at the moment.
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Is ASE Technology (ASX) Stock Undervalued 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 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.
ASE Technology (ASX - Free Report) is a stock many investors are watching right now. ASX is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 7.30. This compares to its industry's average Forward P/E of 14.07. Over the past 52 weeks, ASX's Forward P/E has been as high as 11.96 and as low as 6.97, with a median of 8.31.
Investors should also note that ASX holds a PEG ratio of 0.28. 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. ASX's PEG compares to its industry's average PEG of 0.53. Over the past 52 weeks, ASX's PEG has been as high as 0.80 and as low as 0.26, with a median of 0.32.
Another notable valuation metric for ASX is its P/B ratio of 1.52. 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. This stock's P/B looks solid versus its industry's average P/B of 4.28. Within the past 52 weeks, ASX's P/B has been as high as 2.31 and as low as 1.44, with a median of 1.76.
These figures are just a handful of the metrics value investors tend to look at, but they help show that ASE Technology is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ASX feels like a great value stock at the moment.