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Should Value Investors Buy Safe Bulkers (SB) Stock?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Safe Bulkers (SB - Free Report) is a stock many investors are watching right now. SB is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 3.03. This compares to its industry's average Forward P/E of 3.70. SB's Forward P/E has been as high as 4.73 and as low as 2.68, with a median of 3.41, all within the past year.
We should also highlight that SB has a P/B ratio of 0.70. The P/B ratio pits a stock's market value against 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 1.11. Within the past 52 weeks, SB's P/B has been as high as 1.12 and as low as 0.58, with a median of 0.75.
Finally, investors will want to recognize that SB has a P/CF ratio of 2.02. 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 stock's P/CF looks attractive against its industry's average P/CF of 3.07. Within the past 12 months, SB's P/CF has been as high as 5.74 and as low as 1.72, with a median of 2.33.
Investors could also keep in mind ZIM Integrated Shipping Services (ZIM - Free Report) , an Transportation - Shipping stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Additionally, ZIM Integrated Shipping Services has a P/B ratio of 1.42 while its industry's price-to-book ratio sits at 1.11. For ZIM, this valuation metric has been as high as 4.06, as low as -21.22, with a median of 1.83 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Safe Bulkers and ZIM Integrated Shipping Services are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SB and ZIM feels like a great value stock at the moment.
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Should Value Investors Buy Safe Bulkers (SB) Stock?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Safe Bulkers (SB - Free Report) is a stock many investors are watching right now. SB is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 3.03. This compares to its industry's average Forward P/E of 3.70. SB's Forward P/E has been as high as 4.73 and as low as 2.68, with a median of 3.41, all within the past year.
We should also highlight that SB has a P/B ratio of 0.70. The P/B ratio pits a stock's market value against 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 1.11. Within the past 52 weeks, SB's P/B has been as high as 1.12 and as low as 0.58, with a median of 0.75.
Finally, investors will want to recognize that SB has a P/CF ratio of 2.02. 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 stock's P/CF looks attractive against its industry's average P/CF of 3.07. Within the past 12 months, SB's P/CF has been as high as 5.74 and as low as 1.72, with a median of 2.33.
Investors could also keep in mind ZIM Integrated Shipping Services (ZIM - Free Report) , an Transportation - Shipping stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Additionally, ZIM Integrated Shipping Services has a P/B ratio of 1.42 while its industry's price-to-book ratio sits at 1.11. For ZIM, this valuation metric has been as high as 4.06, as low as -21.22, with a median of 1.83 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Safe Bulkers and ZIM Integrated Shipping Services are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SB and ZIM feels like a great value stock at the moment.