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Should Value Investors Buy KT (KT) 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.

Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of 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.

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 value investors might notice is KT (KT - Free Report) . KT is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 5.81, while its industry has an average P/E of 7.03. Over the last 12 months, KT's Forward P/E has been as high as 7.52 and as low as 5.36, with a median of 6.35.

Finally, our model also underscores that KT has a P/CF ratio of 1.43. 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. KT's P/CF compares to its industry's average P/CF of 1.89. Within the past 12 months, KT's P/CF has been as high as 1.83 and as low as 1.33, with a median of 1.54.

Another great Wireless Non-US stock you could consider is SK Telecom Co. (SKM - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.

SK Telecom Co. also has a P/B ratio of 0.99 compared to its industry's price-to-book ratio of 1.47. Over the past year, its P/B ratio has been as high as 1.25, as low as 0.86, with a median of 1.05.

These are only a few of the key metrics included in KT and SK Telecom Co. strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, KT and SKM look like an impressive value stock at the moment.


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