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Is DecisionPoint Systems (DPSI) 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.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is DecisionPoint Systems (DPSI - Free Report) . DPSI is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with P/E ratio of 18.85 right now. For comparison, its industry sports an average P/E of 27.47. DPSI's Forward P/E has been as high as 51.55 and as low as 14.99, with a median of 23.02, all within the past year.
Another notable valuation metric for DPSI is its P/B ratio of 3.69. The P/B is a method of comparing a stock's market value to 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 7.91. Over the past year, DPSI's P/B has been as high as 5.56 and as low as 1.71, with a median of 2.80.
Finally, investors will want to recognize that DPSI has a P/CF ratio of 15.04. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 16.71. Over the past 52 weeks, DPSI's P/CF has been as high as 28.11 and as low as 8.73, with a median of 13.45.
Magic Software Enterprises (MGIC - Free Report) may be another strong Computer - Software stock to add to your shortlist. MGIC is a # 2 (Buy) stock with a Value grade of A.
Additionally, Magic Software Enterprises has a P/B ratio of 3 while its industry's price-to-book ratio sits at 7.91. For MGIC, this valuation metric has been as high as 3.86, as low as 2.70, with a median of 3.15 over the past year.
These are just a handful of the figures considered in DecisionPoint Systems and Magic Software Enterprises'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 DPSI and MGIC is an impressive value stock right now.
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Is DecisionPoint Systems (DPSI) 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.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is DecisionPoint Systems (DPSI - Free Report) . DPSI is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with P/E ratio of 18.85 right now. For comparison, its industry sports an average P/E of 27.47. DPSI's Forward P/E has been as high as 51.55 and as low as 14.99, with a median of 23.02, all within the past year.
Another notable valuation metric for DPSI is its P/B ratio of 3.69. The P/B is a method of comparing a stock's market value to 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 7.91. Over the past year, DPSI's P/B has been as high as 5.56 and as low as 1.71, with a median of 2.80.
Finally, investors will want to recognize that DPSI has a P/CF ratio of 15.04. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 16.71. Over the past 52 weeks, DPSI's P/CF has been as high as 28.11 and as low as 8.73, with a median of 13.45.
Magic Software Enterprises (MGIC - Free Report) may be another strong Computer - Software stock to add to your shortlist. MGIC is a # 2 (Buy) stock with a Value grade of A.
Additionally, Magic Software Enterprises has a P/B ratio of 3 while its industry's price-to-book ratio sits at 7.91. For MGIC, this valuation metric has been as high as 3.86, as low as 2.70, with a median of 3.15 over the past year.
These are just a handful of the figures considered in DecisionPoint Systems and Magic Software Enterprises'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 DPSI and MGIC is an impressive value stock right now.