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Is Safe Bulkers (SB) 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.
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.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Safe Bulkers (SB - Free Report) . SB is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 3.15, which compares to its industry's average of 3.20. Over the past 52 weeks, SB's Forward P/E has been as high as 4.73 and as low as 2.68, with a median of 3.34.
Another valuation metric that we should highlight is SB's P/B ratio of 0.58. 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. SB's current P/B looks attractive when compared to its industry's average P/B of 0.99. Over the past 12 months, SB's P/B has been as high as 1.12 and as low as 0.58, with a median of 0.74.
Finally, we should also recognize that SB has a P/CF ratio of 1.67. 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. SB's current P/CF looks attractive when compared to its industry's average P/CF of 2.70. Over the past year, SB's P/CF has been as high as 3.85 and as low as 1.67, with a median of 2.27.
Another great Transportation - Shipping stock you could consider is ZIM Integrated Shipping Services (ZIM - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
ZIM Integrated Shipping Services sports a P/B ratio of 1.18 as well; this compares to its industry's price-to-book ratio of 0.99. In the past 52 weeks, ZIM's P/B has been as high as 4.06, as low as 1.18, with a median of 1.82.
These are just a handful of the figures considered in Safe Bulkers and ZIM Integrated Shipping Services'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 SB and ZIM is an impressive value stock right now.
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Is Safe Bulkers (SB) a Great Value Stock Right Now?
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.
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.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Safe Bulkers (SB - Free Report) . SB is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 3.15, which compares to its industry's average of 3.20. Over the past 52 weeks, SB's Forward P/E has been as high as 4.73 and as low as 2.68, with a median of 3.34.
Another valuation metric that we should highlight is SB's P/B ratio of 0.58. 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. SB's current P/B looks attractive when compared to its industry's average P/B of 0.99. Over the past 12 months, SB's P/B has been as high as 1.12 and as low as 0.58, with a median of 0.74.
Finally, we should also recognize that SB has a P/CF ratio of 1.67. 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. SB's current P/CF looks attractive when compared to its industry's average P/CF of 2.70. Over the past year, SB's P/CF has been as high as 3.85 and as low as 1.67, with a median of 2.27.
Another great Transportation - Shipping stock you could consider is ZIM Integrated Shipping Services (ZIM - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
ZIM Integrated Shipping Services sports a P/B ratio of 1.18 as well; this compares to its industry's price-to-book ratio of 0.99. In the past 52 weeks, ZIM's P/B has been as high as 4.06, as low as 1.18, with a median of 1.82.
These are just a handful of the figures considered in Safe Bulkers and ZIM Integrated Shipping Services'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 SB and ZIM is an impressive value stock right now.