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Should Value Investors Buy Brunswick (BC) 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.

One stock to keep an eye on is Brunswick (BC - Free Report) . BC is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 7.45 right now. For comparison, its industry sports an average P/E of 20.90. Over the past 52 weeks, BC's Forward P/E has been as high as 8.97 and as low as 5.83, with a median of 7.18.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. BC has a P/S ratio of 0.85. This compares to its industry's average P/S of 0.87.

These are only a few of the key metrics included in Brunswick's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, BC looks like an impressive value stock at the moment.


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