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Should Value Investors Buy Boise Cascade (BCC) Stock?
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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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 Boise Cascade (BCC - Free Report) . BCC is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock has a Forward P/E ratio of 5.38. This compares to its industry's average Forward P/E of 13.40. Over the past 52 weeks, BCC's Forward P/E has been as high as 9.02 and as low as 3.95, with a median of 5.74.
We should also highlight that BCC has a P/B ratio of 1.36. 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 company's current P/B looks solid when compared to its industry's average P/B of 2.60. Over the past year, BCC's P/B has been as high as 2.43 and as low as 1.24, with a median of 1.85.
Finally, our model also underscores that BCC has a P/CF ratio of 2.81. 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 9.23. Within the past 12 months, BCC's P/CF has been as high as 4.51 and as low as 2.33, with a median of 3.36.
Another great Building Products - Wood stock you could consider is UFP Industries (UFPI - Free Report) , which is a # 1 (Strong Buy) stock with a Value Score of A.
UFP Industries also has a P/B ratio of 1.93 compared to its industry's price-to-book ratio of 2.60. Over the past year, its P/B ratio has been as high as 3.08, as low as 1.81, with a median of 2.36.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Boise Cascade and UFP Industries are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BCC and UFPI feels like a great value stock at the moment.
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Should Value Investors Buy Boise Cascade (BCC) Stock?
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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 Boise Cascade (BCC - Free Report) . BCC is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock has a Forward P/E ratio of 5.38. This compares to its industry's average Forward P/E of 13.40. Over the past 52 weeks, BCC's Forward P/E has been as high as 9.02 and as low as 3.95, with a median of 5.74.
We should also highlight that BCC has a P/B ratio of 1.36. 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 company's current P/B looks solid when compared to its industry's average P/B of 2.60. Over the past year, BCC's P/B has been as high as 2.43 and as low as 1.24, with a median of 1.85.
Finally, our model also underscores that BCC has a P/CF ratio of 2.81. 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 9.23. Within the past 12 months, BCC's P/CF has been as high as 4.51 and as low as 2.33, with a median of 3.36.
Another great Building Products - Wood stock you could consider is UFP Industries (UFPI - Free Report) , which is a # 1 (Strong Buy) stock with a Value Score of A.
UFP Industries also has a P/B ratio of 1.93 compared to its industry's price-to-book ratio of 2.60. Over the past year, its P/B ratio has been as high as 3.08, as low as 1.81, with a median of 2.36.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Boise Cascade and UFP Industries are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BCC and UFPI feels like a great value stock at the moment.