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Is Cracker Barrel Old Country Store (CBRL) Stock Undervalued 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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 Cracker Barrel Old Country Store (CBRL - Free Report) . CBRL is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 17.19 right now. For comparison, its industry sports an average P/E of 25.12. CBRL's Forward P/E has been as high as 18.69 and as low as 12.13, with a median of 15.43, all within the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CBRL has a P/S ratio of 0.79. This compares to its industry's average P/S of 1.2.
Finally, investors will want to recognize that CBRL has a P/CF ratio of 10.66. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 18.13. Within the past 12 months, CBRL's P/CF has been as high as 14.28 and as low as 7.58, with a median of 10.18.
Dine Brands Global (DIN - Free Report) may be another strong Retail - Restaurants stock to add to your shortlist. DIN is a # 2 (Buy) stock with a Value grade of A.
Additionally, Dine Brands Global has a P/B ratio of -3.80 while its industry's price-to-book ratio sits at -18.70. For DIN, this valuation metric has been as high as -3.30, as low as -5.96, with a median of -4.54 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Cracker Barrel Old Country Store and Dine Brands Global are likely undervalued currently. And when considering the strength of its earnings outlook, CBRL and DIN sticks out as one of the market's strongest value stocks.
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Is Cracker Barrel Old Country Store (CBRL) Stock Undervalued 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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 Cracker Barrel Old Country Store (CBRL - Free Report) . CBRL is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 17.19 right now. For comparison, its industry sports an average P/E of 25.12. CBRL's Forward P/E has been as high as 18.69 and as low as 12.13, with a median of 15.43, all within the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CBRL has a P/S ratio of 0.79. This compares to its industry's average P/S of 1.2.
Finally, investors will want to recognize that CBRL has a P/CF ratio of 10.66. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 18.13. Within the past 12 months, CBRL's P/CF has been as high as 14.28 and as low as 7.58, with a median of 10.18.
Dine Brands Global (DIN - Free Report) may be another strong Retail - Restaurants stock to add to your shortlist. DIN is a # 2 (Buy) stock with a Value grade of A.
Additionally, Dine Brands Global has a P/B ratio of -3.80 while its industry's price-to-book ratio sits at -18.70. For DIN, this valuation metric has been as high as -3.30, as low as -5.96, with a median of -4.54 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Cracker Barrel Old Country Store and Dine Brands Global are likely undervalued currently. And when considering the strength of its earnings outlook, CBRL and DIN sticks out as one of the market's strongest value stocks.