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Is Covenant Logistics Group (CVLG) Stock Undervalued Right Now?
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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.
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 stock to keep an eye on is Covenant Logistics Group (CVLG - Free Report) . CVLG is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 7.96 right now. For comparison, its industry sports an average P/E of 16.02. Over the past year, CVLG's Forward P/E has been as high as 9.80 and as low as 4.97, with a median of 6.46.
We should also highlight that CVLG has a P/B ratio of 1.29. 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 3.53. CVLG's P/B has been as high as 1.75 and as low as 0.81, with a median of 1.12, over the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CVLG has a P/S ratio of 0.41. This compares to its industry's average P/S of 1.04.
Finally, our model also underscores that CVLG has a P/CF ratio of 3.99. 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. CVLG's P/CF compares to its industry's average P/CF of 11.62. Over the past year, CVLG's P/CF has been as high as 8.04 and as low as 2.42, with a median of 3.55.
If you're looking for another solid Transportation - Truck value stock, take a look at KnightSwift Transportation (KNX - Free Report) . KNX is a # 2 (Buy) stock with a Value score of A.
Shares of KnightSwift Transportation are currently trading at a forward earnings multiple of 10.36 and a PEG ratio of 0.69 compared to its industry's P/E and PEG ratios of 16.02 and 1.08, respectively.
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Is Covenant Logistics Group (CVLG) Stock Undervalued Right Now?
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.
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 stock to keep an eye on is Covenant Logistics Group (CVLG - Free Report) . CVLG is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 7.96 right now. For comparison, its industry sports an average P/E of 16.02. Over the past year, CVLG's Forward P/E has been as high as 9.80 and as low as 4.97, with a median of 6.46.
We should also highlight that CVLG has a P/B ratio of 1.29. 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 3.53. CVLG's P/B has been as high as 1.75 and as low as 0.81, with a median of 1.12, over the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CVLG has a P/S ratio of 0.41. This compares to its industry's average P/S of 1.04.
Finally, our model also underscores that CVLG has a P/CF ratio of 3.99. 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. CVLG's P/CF compares to its industry's average P/CF of 11.62. Over the past year, CVLG's P/CF has been as high as 8.04 and as low as 2.42, with a median of 3.55.
If you're looking for another solid Transportation - Truck value stock, take a look at KnightSwift Transportation (KNX - Free Report) . KNX is a # 2 (Buy) stock with a Value score of A.
Shares of KnightSwift Transportation are currently trading at a forward earnings multiple of 10.36 and a PEG ratio of 0.69 compared to its industry's P/E and PEG ratios of 16.02 and 1.08, respectively.