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Should Value Investors Buy Capital Product Partners (CPLP) Stock?
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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.
One stock to keep an eye on is Capital Product Partners (CPLP - Free Report) . CPLP is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with a P/E ratio of 3.28, which compares to its industry's average of 3.74. Over the last 12 months, CPLP's Forward P/E has been as high as 6.60 and as low as 3.07, with a median of 3.82.
We should also highlight that CPLP has a P/B ratio of 0.56. 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 company's current P/B looks solid when compared to its industry's average P/B of 1.15. Over the past year, CPLP's P/B has been as high as 0.70 and as low as 0.45, with a median of 0.56.
Finally, investors will want to recognize that CPLP has a P/CF ratio of 1.70. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 3.20. Over the past year, CPLP's P/CF has been as high as 2.59 and as low as 1.59, with a median of 1.92.
Investors could also keep in mind Genco Shipping & Trading Limited (GNK - Free Report) , an Transportation - Shipping stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Furthermore, Genco Shipping & Trading Limited holds a P/B ratio of 0.90 and its industry's price-to-book ratio is 1.15. GNK's P/B has been as high as 1.21, as low as 0.65, with a median of 0.95 over the past 12 months.
These are just a handful of the figures considered in Capital Product Partners and Genco Shipping & Trading Limited'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 CPLP and GNK is an impressive value stock right now.
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Should Value Investors Buy Capital Product Partners (CPLP) Stock?
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.
One stock to keep an eye on is Capital Product Partners (CPLP - Free Report) . CPLP is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with a P/E ratio of 3.28, which compares to its industry's average of 3.74. Over the last 12 months, CPLP's Forward P/E has been as high as 6.60 and as low as 3.07, with a median of 3.82.
We should also highlight that CPLP has a P/B ratio of 0.56. 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 company's current P/B looks solid when compared to its industry's average P/B of 1.15. Over the past year, CPLP's P/B has been as high as 0.70 and as low as 0.45, with a median of 0.56.
Finally, investors will want to recognize that CPLP has a P/CF ratio of 1.70. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 3.20. Over the past year, CPLP's P/CF has been as high as 2.59 and as low as 1.59, with a median of 1.92.
Investors could also keep in mind Genco Shipping & Trading Limited (GNK - Free Report) , an Transportation - Shipping stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Furthermore, Genco Shipping & Trading Limited holds a P/B ratio of 0.90 and its industry's price-to-book ratio is 1.15. GNK's P/B has been as high as 1.21, as low as 0.65, with a median of 0.95 over the past 12 months.
These are just a handful of the figures considered in Capital Product Partners and Genco Shipping & Trading Limited'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 CPLP and GNK is an impressive value stock right now.