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Should Value Investors Buy DecisionPoint Systems (DPSI) Stock?
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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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 DecisionPoint Systems (DPSI - Free Report) . DPSI is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 21, while its industry has an average P/E of 27.30. DPSI's Forward P/E has been as high as 37.36 and as low as 14.99, with a median of 22.73, all within the past year.
Another notable valuation metric for DPSI is its P/B ratio of 4.11. 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. This stock's P/B looks attractive against its industry's average P/B of 8.69. Over the past 12 months, DPSI's P/B has been as high as 5.09 and as low as 1.71, with a median of 2.80.
Finally, we should also recognize that DPSI has a P/CF ratio of 16.76. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. DPSI's P/CF compares to its industry's average P/CF of 18.40. DPSI's P/CF has been as high as 27.76 and as low as 8.73, with a median of 13.46, all within the past year.
If you're looking for another solid Computer - Software value stock, take a look at Open Text (OTEX - Free Report) . OTEX is a # 2 (Buy) stock with a Value score of A.
Open Text sports a P/B ratio of 2.28 as well; this compares to its industry's price-to-book ratio of 8.69. In the past 52 weeks, OTEX's P/B has been as high as 3.14, as low as 1.78, with a median of 2.50.
Value investors will likely look at more than just these metrics, but the above data helps show that DecisionPoint Systems and Open Text are likely undervalued currently. And when considering the strength of its earnings outlook, DPSI and OTEX sticks out as one of the market's strongest value stocks.
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Should Value Investors Buy DecisionPoint Systems (DPSI) Stock?
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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 DecisionPoint Systems (DPSI - Free Report) . DPSI is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 21, while its industry has an average P/E of 27.30. DPSI's Forward P/E has been as high as 37.36 and as low as 14.99, with a median of 22.73, all within the past year.
Another notable valuation metric for DPSI is its P/B ratio of 4.11. 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. This stock's P/B looks attractive against its industry's average P/B of 8.69. Over the past 12 months, DPSI's P/B has been as high as 5.09 and as low as 1.71, with a median of 2.80.
Finally, we should also recognize that DPSI has a P/CF ratio of 16.76. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. DPSI's P/CF compares to its industry's average P/CF of 18.40. DPSI's P/CF has been as high as 27.76 and as low as 8.73, with a median of 13.46, all within the past year.
If you're looking for another solid Computer - Software value stock, take a look at Open Text (OTEX - Free Report) . OTEX is a # 2 (Buy) stock with a Value score of A.
Open Text sports a P/B ratio of 2.28 as well; this compares to its industry's price-to-book ratio of 8.69. In the past 52 weeks, OTEX's P/B has been as high as 3.14, as low as 1.78, with a median of 2.50.
Value investors will likely look at more than just these metrics, but the above data helps show that DecisionPoint Systems and Open Text are likely undervalued currently. And when considering the strength of its earnings outlook, DPSI and OTEX sticks out as one of the market's strongest value stocks.