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Is Air Canada (ACDVF) Stock Undervalued Right Now?
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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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
Air Canada (ACDVF - Free Report) is a stock many investors are watching right now. ACDVF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Investors will also notice that ACDVF has a PEG ratio of 0.20. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ACDVF's industry has an average PEG of 0.27 right now. Within the past year, ACDVF's PEG has been as high as 0.21 and as low as 0.20, with a median of 0.20.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. ACDVF has a P/S ratio of 0.47. This compares to its industry's average P/S of 0.55.
Finally, investors will want to recognize that ACDVF has a P/CF ratio of 9.17. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 9.41. ACDVF's P/CF has been as high as 9.17 and as low as -133.81, with a median of -8.14, all within the past year.
If you're looking for another solid Transportation - Airline value stock, take a look at Delta Air Lines (DAL - Free Report) . DAL is a # 2 (Buy) stock with a Value score of A.
Delta Air Lines is currently trading with a Forward P/E ratio of 7.39 while its PEG ratio sits at 0.21. Both of the company's metrics compare favorably to its industry's average P/E of 8.97 and average PEG ratio of 0.27.
Over the last 12 months, DAL's P/E has been as high as 11.63, as low as 5.59, with a median of 6.99, and its PEG ratio has been as high as 0.21, as low as 0.16, with a median of 0.18.
Additionally, Delta Air Lines has a P/B ratio of 4.80 while its industry's price-to-book ratio sits at 5.16. For DAL, this valuation metric has been as high as 6.52, as low as 3.08, with a median of 4.39 over the past year.
These are just a handful of the figures considered in Air Canada and Delta Air Lines'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 ACDVF and DAL is an impressive value stock right now.
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Is Air Canada (ACDVF) Stock Undervalued Right Now?
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
Air Canada (ACDVF - Free Report) is a stock many investors are watching right now. ACDVF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Investors will also notice that ACDVF has a PEG ratio of 0.20. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ACDVF's industry has an average PEG of 0.27 right now. Within the past year, ACDVF's PEG has been as high as 0.21 and as low as 0.20, with a median of 0.20.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. ACDVF has a P/S ratio of 0.47. This compares to its industry's average P/S of 0.55.
Finally, investors will want to recognize that ACDVF has a P/CF ratio of 9.17. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 9.41. ACDVF's P/CF has been as high as 9.17 and as low as -133.81, with a median of -8.14, all within the past year.
If you're looking for another solid Transportation - Airline value stock, take a look at Delta Air Lines (DAL - Free Report) . DAL is a # 2 (Buy) stock with a Value score of A.
Delta Air Lines is currently trading with a Forward P/E ratio of 7.39 while its PEG ratio sits at 0.21. Both of the company's metrics compare favorably to its industry's average P/E of 8.97 and average PEG ratio of 0.27.
Over the last 12 months, DAL's P/E has been as high as 11.63, as low as 5.59, with a median of 6.99, and its PEG ratio has been as high as 0.21, as low as 0.16, with a median of 0.18.
Additionally, Delta Air Lines has a P/B ratio of 4.80 while its industry's price-to-book ratio sits at 5.16. For DAL, this valuation metric has been as high as 6.52, as low as 3.08, with a median of 4.39 over the past year.
These are just a handful of the figures considered in Air Canada and Delta Air Lines'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 ACDVF and DAL is an impressive value stock right now.