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Are Investors Undervaluing Suzano (SUZ) 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, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 stock to keep an eye on is Suzano (SUZ - Free Report) . SUZ is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 4.44. This compares to its industry's average Forward P/E of 5.77. Over the last 12 months, SUZ's Forward P/E has been as high as 8.45 and as low as 3.73, with a median of 4.57.
SUZ is also sporting a PEG ratio of 0.48. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. SUZ's PEG compares to its industry's average PEG of 0.57. Over the last 12 months, SUZ's PEG has been as high as 0.84 and as low as 0.36, with a median of 0.46.
Another notable valuation metric for SUZ is its P/B ratio of 2.47. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2.57. Over the past year, SUZ's P/B has been as high as 6.21 and as low as 2.18, with a median of 3.23.
Finally, investors will want to recognize that SUZ has a P/CF ratio of 3.30. 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. SUZ's P/CF compares to its industry's average P/CF of 8.14. Over the past year, SUZ's P/CF has been as high as 5.90 and as low as 2.19, with a median of 3.23.
Investors could also keep in mind Veritiv , an Paper and Related Products stock with a Zacks Rank of # 1 (Strong Buy) and Value grade of A.
Shares of Veritiv currently holds a Forward P/E ratio of 5.74, and its PEG ratio is 0.34. In comparison, its industry sports average P/E and PEG ratios of 5.77 and 0.57.
Over the last 12 months, VRTV's P/E has been as high as 19.54, as low as 5.25, with a median of 9.14, and its PEG ratio has been as high as 0.62, as low as 0.31, with a median of 0.49.
Additionally, Veritiv has a P/B ratio of 2.12 while its industry's price-to-book ratio sits at 2.57. For VRTV, this valuation metric has been as high as 4.10, as low as 2, with a median of 2.82 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Suzano and Veritiv are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SUZ and VRTV feels like a great value stock at the moment.
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Are Investors Undervaluing Suzano (SUZ) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 stock to keep an eye on is Suzano (SUZ - Free Report) . SUZ is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 4.44. This compares to its industry's average Forward P/E of 5.77. Over the last 12 months, SUZ's Forward P/E has been as high as 8.45 and as low as 3.73, with a median of 4.57.
SUZ is also sporting a PEG ratio of 0.48. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. SUZ's PEG compares to its industry's average PEG of 0.57. Over the last 12 months, SUZ's PEG has been as high as 0.84 and as low as 0.36, with a median of 0.46.
Another notable valuation metric for SUZ is its P/B ratio of 2.47. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2.57. Over the past year, SUZ's P/B has been as high as 6.21 and as low as 2.18, with a median of 3.23.
Finally, investors will want to recognize that SUZ has a P/CF ratio of 3.30. 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. SUZ's P/CF compares to its industry's average P/CF of 8.14. Over the past year, SUZ's P/CF has been as high as 5.90 and as low as 2.19, with a median of 3.23.
Investors could also keep in mind Veritiv , an Paper and Related Products stock with a Zacks Rank of # 1 (Strong Buy) and Value grade of A.
Shares of Veritiv currently holds a Forward P/E ratio of 5.74, and its PEG ratio is 0.34. In comparison, its industry sports average P/E and PEG ratios of 5.77 and 0.57.
Over the last 12 months, VRTV's P/E has been as high as 19.54, as low as 5.25, with a median of 9.14, and its PEG ratio has been as high as 0.62, as low as 0.31, with a median of 0.49.
Additionally, Veritiv has a P/B ratio of 2.12 while its industry's price-to-book ratio sits at 2.57. For VRTV, this valuation metric has been as high as 4.10, as low as 2, with a median of 2.82 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Suzano and Veritiv are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SUZ and VRTV feels like a great value stock at the moment.