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Is Adams Resources & Energy (AE) a Great Value Stock Right Now?

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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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.

Adams Resources & Energy (AE - Free Report) is a stock many investors are watching right now. AE is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.

We should also highlight that AE has a P/B ratio of 0.86. 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 company's current P/B looks solid when compared to its industry's average P/B of 1.84. AE's P/B has been as high as 1.06 and as low as 0.71, with a median of 0.83, over the past year.

Finally, investors should note that AE has a P/CF ratio of 4.08. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. AE's current P/CF looks attractive when compared to its industry's average P/CF of 5.32. AE's P/CF has been as high as 5.43 and as low as 3.08, with a median of 3.93, all within the past year.

Another great Oil and Gas - Refining and Marketing stock you could consider is PBF Energy (PBF - Free Report) , which is a # 1 (Strong Buy) stock with a Value Score of A.

PBF Energy also has a P/B ratio of 1.58 compared to its industry's price-to-book ratio of 1.84. Over the past year, its P/B ratio has been as high as 2.09, as low as 0.40, with a median of 0.79.

These are just a handful of the figures considered in Adams Resources & Energy and PBF Energy'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 AE and PBF is an impressive value stock right now.


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