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Are Investors Undervaluing PetIQ (PETQ) Right Now?
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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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 to watch right now is PetIQ (PETQ - Free Report) . PETQ is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 8.37, while its industry has an average P/E of 20.95. PETQ's Forward P/E has been as high as 20.41 and as low as 5.10, with a median of 12.29, all within the past year.
We also note that PETQ holds a PEG ratio of 1.05. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PETQ's PEG compares to its industry's average PEG of 2.60. Within the past year, PETQ's PEG has been as high as 1.63 and as low as 0.41, with a median of 0.74.
Another notable valuation metric for PETQ is its P/B ratio of 1.45. 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. PETQ's current P/B looks attractive when compared to its industry's average P/B of 4.31. PETQ's P/B has been as high as 2.84 and as low as 0.80, with a median of 1.96, over the past year.
Investors could also keep in mind QuidelOrtho (QDEL - Free Report) , an Medical - Products stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Additionally, QuidelOrtho has a P/B ratio of 1.25 while its industry's price-to-book ratio sits at 4.31. For QDEL, this valuation metric has been as high as 4.45, as low as 0.93, with a median of 1.75 over the past year.
These are just a handful of the figures considered in PetIQ and QuidelOrtho's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that PETQ and QDEL is an impressive value stock right now.
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Are Investors Undervaluing PetIQ (PETQ) Right Now?
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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 to watch right now is PetIQ (PETQ - Free Report) . PETQ is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 8.37, while its industry has an average P/E of 20.95. PETQ's Forward P/E has been as high as 20.41 and as low as 5.10, with a median of 12.29, all within the past year.
We also note that PETQ holds a PEG ratio of 1.05. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PETQ's PEG compares to its industry's average PEG of 2.60. Within the past year, PETQ's PEG has been as high as 1.63 and as low as 0.41, with a median of 0.74.
Another notable valuation metric for PETQ is its P/B ratio of 1.45. 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. PETQ's current P/B looks attractive when compared to its industry's average P/B of 4.31. PETQ's P/B has been as high as 2.84 and as low as 0.80, with a median of 1.96, over the past year.
Investors could also keep in mind QuidelOrtho (QDEL - Free Report) , an Medical - Products stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Additionally, QuidelOrtho has a P/B ratio of 1.25 while its industry's price-to-book ratio sits at 4.31. For QDEL, this valuation metric has been as high as 4.45, as low as 0.93, with a median of 1.75 over the past year.
These are just a handful of the figures considered in PetIQ and QuidelOrtho's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that PETQ and QDEL is an impressive value stock right now.