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Is Associated British Foods (ASBFY) Stock Undervalued 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of 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.
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 company value investors might notice is Associated British Foods (ASBFY - Free Report) . ASBFY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 13.19, which compares to its industry's average of 22.44. Over the past year, ASBFY's Forward P/E has been as high as 15.74 and as low as 9.30, with a median of 12.11.
Another valuation metric that we should highlight is ASBFY's P/B ratio of 1.02. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 2.39. Within the past 52 weeks, ASBFY's P/B has been as high as 1.71 and as low as 0.75, with a median of 1.13.
Danone (DANOY - Free Report) may be another strong Food - Miscellaneous stock to add to your shortlist. DANOY is a # 2 (Buy) stock with a Value grade of A.
Danone is currently trading with a Forward P/E ratio of 13.66 while its PEG ratio sits at 3.01. Both of the company's metrics compare favorably to its industry's average P/E of 22.44 and average PEG ratio of 2.96.
DANOY's price-to-earnings ratio has been as high as 17.59 and as low as 12.71, with a median of 15.46, while its PEG ratio has been as high as 6.37 and as low as 2.20, with a median of 4.41, all within the past year.
Furthermore, Danone holds a P/B ratio of 1.73 and its industry's price-to-book ratio is 2.39. DANOY's P/B has been as high as 2.22, as low as 1.51, with a median of 1.81 over the past 12 months.
These are just a handful of the figures considered in Associated British Foods and Danone'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 ASBFY and DANOY is an impressive value stock right now.
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Is Associated British Foods (ASBFY) Stock Undervalued 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of 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.
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 company value investors might notice is Associated British Foods (ASBFY - Free Report) . ASBFY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 13.19, which compares to its industry's average of 22.44. Over the past year, ASBFY's Forward P/E has been as high as 15.74 and as low as 9.30, with a median of 12.11.
Another valuation metric that we should highlight is ASBFY's P/B ratio of 1.02. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 2.39. Within the past 52 weeks, ASBFY's P/B has been as high as 1.71 and as low as 0.75, with a median of 1.13.
Danone (DANOY - Free Report) may be another strong Food - Miscellaneous stock to add to your shortlist. DANOY is a # 2 (Buy) stock with a Value grade of A.
Danone is currently trading with a Forward P/E ratio of 13.66 while its PEG ratio sits at 3.01. Both of the company's metrics compare favorably to its industry's average P/E of 22.44 and average PEG ratio of 2.96.
DANOY's price-to-earnings ratio has been as high as 17.59 and as low as 12.71, with a median of 15.46, while its PEG ratio has been as high as 6.37 and as low as 2.20, with a median of 4.41, all within the past year.
Furthermore, Danone holds a P/B ratio of 1.73 and its industry's price-to-book ratio is 2.39. DANOY's P/B has been as high as 2.22, as low as 1.51, with a median of 1.81 over the past 12 months.
These are just a handful of the figures considered in Associated British Foods and Danone'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 ASBFY and DANOY is an impressive value stock right now.