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Are Investors Undervaluing UFP Industries (UFPI) 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
UFP Industries (UFPI - Free Report) is a stock many investors are watching right now. UFPI is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 11.99 right now. For comparison, its industry sports an average P/E of 25.87. Over the past year, UFPI's Forward P/E has been as high as 12.28 and as low as 7.02, with a median of 9.84.
We should also highlight that UFPI has a P/B ratio of 2.34. 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 3.52. Within the past 52 weeks, UFPI's P/B has been as high as 2.44 and as low as 1.68, with a median of 1.98.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. UFPI has a P/S ratio of 0.71. This compares to its industry's average P/S of 1.26.
Finally, our model also underscores that UFPI has a P/CF ratio of 8.77. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 19.22. UFPI's P/CF has been as high as 8.77 and as low as 5.24, with a median of 6.66, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that UFP Industries is likely undervalued currently. And when considering the strength of its earnings outlook, UFPI sticks out at as one of the market's strongest value stocks.
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Are Investors Undervaluing UFP Industries (UFPI) 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
UFP Industries (UFPI - Free Report) is a stock many investors are watching right now. UFPI is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 11.99 right now. For comparison, its industry sports an average P/E of 25.87. Over the past year, UFPI's Forward P/E has been as high as 12.28 and as low as 7.02, with a median of 9.84.
We should also highlight that UFPI has a P/B ratio of 2.34. 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 3.52. Within the past 52 weeks, UFPI's P/B has been as high as 2.44 and as low as 1.68, with a median of 1.98.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. UFPI has a P/S ratio of 0.71. This compares to its industry's average P/S of 1.26.
Finally, our model also underscores that UFPI has a P/CF ratio of 8.77. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 19.22. UFPI's P/CF has been as high as 8.77 and as low as 5.24, with a median of 6.66, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that UFP Industries is likely undervalued currently. And when considering the strength of its earnings outlook, UFPI sticks out at as one of the market's strongest value stocks.