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Are Investors Undervaluing Steel Dynamics (STLD) Right Now?
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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, 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.
Steel Dynamics (STLD - Free Report) is a stock many investors are watching right now. STLD is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock holds a P/E ratio of 7.63, while its industry has an average P/E of 7.97. Over the last 12 months, STLD's Forward P/E has been as high as 11.81 and as low as 4.02, with a median of 6.76.
Finally, we should also recognize that STLD has a P/CF ratio of 4.39. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 5.59. Over the past 52 weeks, STLD's P/CF has been as high as 5.64 and as low as 2.54, with a median of 3.81.
If you're looking for another solid Steel - Producers value stock, take a look at United States Steel (X - Free Report) . X is a # 1 (Strong Buy) stock with a Value score of A.
Furthermore, United States Steel holds a P/B ratio of 0.58 and its industry's price-to-book ratio is 1.67. X's P/B has been as high as 1.01, as low as 0.39, with a median of 0.56 over the past 12 months.
These are just a handful of the figures considered in Steel Dynamics and United States Steel'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 STLD and X is an impressive value stock right now.
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Are Investors Undervaluing Steel Dynamics (STLD) Right Now?
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, 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.
Steel Dynamics (STLD - Free Report) is a stock many investors are watching right now. STLD is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock holds a P/E ratio of 7.63, while its industry has an average P/E of 7.97. Over the last 12 months, STLD's Forward P/E has been as high as 11.81 and as low as 4.02, with a median of 6.76.
Finally, we should also recognize that STLD has a P/CF ratio of 4.39. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 5.59. Over the past 52 weeks, STLD's P/CF has been as high as 5.64 and as low as 2.54, with a median of 3.81.
If you're looking for another solid Steel - Producers value stock, take a look at United States Steel (X - Free Report) . X is a # 1 (Strong Buy) stock with a Value score of A.
Furthermore, United States Steel holds a P/B ratio of 0.58 and its industry's price-to-book ratio is 1.67. X's P/B has been as high as 1.01, as low as 0.39, with a median of 0.56 over the past 12 months.
These are just a handful of the figures considered in Steel Dynamics and United States Steel'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 STLD and X is an impressive value stock right now.