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Should Value Investors Buy Waterstone Financial (WSBF) Stock?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. 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.
One stock to keep an eye on is Waterstone Financial (WSBF - Free Report) . WSBF is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. WSBF has a P/S ratio of 1.72. This compares to its industry's average P/S of 2.68.
Finally, investors should note that WSBF has a P/CF ratio of 7.89. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 9.07. Over the past year, WSBF's P/CF has been as high as 8.63 and as low as 5.74, with a median of 7.04.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Waterstone Financial is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, WSBF feels like a great value stock at the moment.
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Should Value Investors Buy Waterstone Financial (WSBF) Stock?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. 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.
One stock to keep an eye on is Waterstone Financial (WSBF - Free Report) . WSBF is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. WSBF has a P/S ratio of 1.72. This compares to its industry's average P/S of 2.68.
Finally, investors should note that WSBF has a P/CF ratio of 7.89. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 9.07. Over the past year, WSBF's P/CF has been as high as 8.63 and as low as 5.74, with a median of 7.04.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Waterstone Financial is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, WSBF feels like a great value stock at the moment.