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Should Value Investors Buy Copa Holdings (CPA) 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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.

One stock to keep an eye on is Copa Holdings (CPA - Free Report) . CPA is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 7.24. This compares to its industry's average Forward P/E of 8.73. Over the last 12 months, CPA's Forward P/E has been as high as 11.28 and as low as 6.80, with a median of 8.44.

Investors should also recognize that CPA has a P/B ratio of 2.81. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 5.16. CPA's P/B has been as high as 2.81 and as low as 2.01, with a median of 2.38, over the past year.

Finally, we should also recognize that CPA has a P/CF ratio of 6.31. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 9.41. Within the past 12 months, CPA's P/CF has been as high as 6.31 and as low as 4.29, with a median of 5.66.

Investors could also keep in mind Delta Air Lines (DAL - Free Report) , an Transportation - Airline stock with a Zacks Rank of # 2 (Buy) and Value grade of A.

Shares of Delta Air Lines currently holds a Forward P/E ratio of 7.03, and its PEG ratio is 0.19. In comparison, its industry sports average P/E and PEG ratios of 8.73 and 0.25.


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