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Are Investors Undervaluing Suzano (SUZ) 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.
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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Suzano (SUZ - Free Report) is a stock many investors are watching right now. SUZ is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 5.06 right now. For comparison, its industry sports an average P/E of 7.52. SUZ's Forward P/E has been as high as 8.45 and as low as 2.69, with a median of 4.75, all within the past year.
Investors will also notice that SUZ has a PEG ratio of 0.45. 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. SUZ's PEG compares to its industry's average PEG of 0.67. Over the last 12 months, SUZ's PEG has been as high as 0.84 and as low as 0.24, with a median of 0.48.
Another notable valuation metric for SUZ is its P/B ratio of 2.52. The P/B ratio pits a stock's market value against 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 2.83. Over the past 12 months, SUZ's P/B has been as high as 6.21 and as low as 2.10, with a median of 2.66.
Finally, our model also underscores that SUZ has a P/CF ratio of 2.77. 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 4.69. Over the past year, SUZ's P/CF has been as high as 5.90 and as low as 2.19, with a median of 2.95.
Veritiv may be another strong Paper and Related Products stock to add to your shortlist. VRTV is a # 1 (Strong Buy) stock with a Value grade of A.
Shares of Veritiv currently holds a Forward P/E ratio of 7.46, and its PEG ratio is 0.48. In comparison, its industry sports average P/E and PEG ratios of 7.52 and 0.67.
VRTV's Forward P/E has been as high as 12.71 and as low as 4.69, with a median of 7.72. During the same time period, its PEG ratio has been as high as 0.62, as low as 0.30, with a median of 0.49.
Veritiv also has a P/B ratio of 2.47 compared to its industry's price-to-book ratio of 2.83. Over the past year, its P/B ratio has been as high as 3.52, as low as 1.99, with a median of 2.62.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Suzano and Veritiv are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SUZ and VRTV feels like a great value stock at the moment.
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Are Investors Undervaluing Suzano (SUZ) 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.
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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Suzano (SUZ - Free Report) is a stock many investors are watching right now. SUZ is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 5.06 right now. For comparison, its industry sports an average P/E of 7.52. SUZ's Forward P/E has been as high as 8.45 and as low as 2.69, with a median of 4.75, all within the past year.
Investors will also notice that SUZ has a PEG ratio of 0.45. 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. SUZ's PEG compares to its industry's average PEG of 0.67. Over the last 12 months, SUZ's PEG has been as high as 0.84 and as low as 0.24, with a median of 0.48.
Another notable valuation metric for SUZ is its P/B ratio of 2.52. The P/B ratio pits a stock's market value against 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 2.83. Over the past 12 months, SUZ's P/B has been as high as 6.21 and as low as 2.10, with a median of 2.66.
Finally, our model also underscores that SUZ has a P/CF ratio of 2.77. 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 4.69. Over the past year, SUZ's P/CF has been as high as 5.90 and as low as 2.19, with a median of 2.95.
Veritiv may be another strong Paper and Related Products stock to add to your shortlist. VRTV is a # 1 (Strong Buy) stock with a Value grade of A.
Shares of Veritiv currently holds a Forward P/E ratio of 7.46, and its PEG ratio is 0.48. In comparison, its industry sports average P/E and PEG ratios of 7.52 and 0.67.
VRTV's Forward P/E has been as high as 12.71 and as low as 4.69, with a median of 7.72. During the same time period, its PEG ratio has been as high as 0.62, as low as 0.30, with a median of 0.49.
Veritiv also has a P/B ratio of 2.47 compared to its industry's price-to-book ratio of 2.83. Over the past year, its P/B ratio has been as high as 3.52, as low as 1.99, with a median of 2.62.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Suzano and Veritiv are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SUZ and VRTV feels like a great value stock at the moment.