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Is BGSF (BGSF) 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.

Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

One company value investors might notice is BGSF (BGSF - Free Report) . BGSF is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 10.38. This compares to its industry's average Forward P/E of 11.69. Over the past 52 weeks, BGSF's Forward P/E has been as high as 12.81 and as low as 9.93, with a median of 11.20.

Investors should also note that BGSF holds a PEG ratio of 0.52. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. BGSF's PEG compares to its industry's average PEG of 0.66. Over the past 52 weeks, BGSF's PEG has been as high as 0.64 and as low as 0.50, with a median of 0.56.

We should also highlight that BGSF has a P/B ratio of 1.39. 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 stock's P/B looks solid versus its industry's average P/B of 2.26. Over the past 12 months, BGSF's P/B has been as high as 2.26 and as low as 1.34, with a median of 1.85.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. BGSF has a P/S ratio of 0.44. This compares to its industry's average P/S of 0.9.

Finally, our model also underscores that BGSF has a P/CF ratio of 3.83. 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 12.49. BGSF's P/CF has been as high as 11.29 and as low as 3.72, with a median of 8.79, all within the past year.

Another great Business - Services stock you could consider is Avis Budget Group (CAR - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.

Avis Budget Group is currently trading with a Forward P/E ratio of 5.41 while its PEG ratio sits at 0.26. Both of the company's metrics compare favorably to its industry's average P/E of 11.69 and average PEG ratio of 0.66.

Over the past year, CAR's P/E has been as high as 37.43, as low as 4.80, with a median of 10.57; its PEG ratio has been as high as 1.36, as low as 0.16, with a median of 0.56 during the same time period.

Avis Budget Group sports a P/B ratio of -7.48 as well; this compares to its industry's price-to-book ratio of 2.26. In the past 52 weeks, CAR's P/B has been as high as 86.95, as low as -101.83, with a median of -15.17.

These are only a few of the key metrics included in BGSF and Avis Budget Group strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, BGSF and CAR look like an impressive value stock at the moment.


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