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Should Value Investors Buy Allison Transmission Holdings (ALSN) Stock?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Allison Transmission Holdings (ALSN - Free Report) is a stock many investors are watching right now. ALSN is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 7.62, which compares to its industry's average of 21.34. Over the past 52 weeks, ALSN's Forward P/E has been as high as 8.12 and as low as 5.75, with a median of 7.10.
ALSN is also sporting a PEG ratio of 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ALSN's industry currently sports an average PEG of 1.30. ALSN's PEG has been as high as 1.16 and as low as 0.82, with a median of 1.01, all within the past year.
Wabash National (WNC - Free Report) may be another strong Automotive - Original Equipment stock to add to your shortlist. WNC is a # 1 (Strong Buy) stock with a Value grade of A.
Additionally, Wabash National has a P/B ratio of 3.31 while its industry's price-to-book ratio sits at 2.26. For WNC, this valuation metric has been as high as 3.62, as low as 1.79, with a median of 2.39 over the past year.
These are just a handful of the figures considered in Allison Transmission Holdings and Wabash National'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 ALSN and WNC is an impressive value stock right now.
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Should Value Investors Buy Allison Transmission Holdings (ALSN) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Allison Transmission Holdings (ALSN - Free Report) is a stock many investors are watching right now. ALSN is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 7.62, which compares to its industry's average of 21.34. Over the past 52 weeks, ALSN's Forward P/E has been as high as 8.12 and as low as 5.75, with a median of 7.10.
ALSN is also sporting a PEG ratio of 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ALSN's industry currently sports an average PEG of 1.30. ALSN's PEG has been as high as 1.16 and as low as 0.82, with a median of 1.01, all within the past year.
Wabash National (WNC - Free Report) may be another strong Automotive - Original Equipment stock to add to your shortlist. WNC is a # 1 (Strong Buy) stock with a Value grade of A.
Additionally, Wabash National has a P/B ratio of 3.31 while its industry's price-to-book ratio sits at 2.26. For WNC, this valuation metric has been as high as 3.62, as low as 1.79, with a median of 2.39 over the past year.
These are just a handful of the figures considered in Allison Transmission Holdings and Wabash National'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 ALSN and WNC is an impressive value stock right now.