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Are Investors Undervaluing Enersys (ENS) Right Now?
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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
One company value investors might notice is Enersys (ENS - Free Report) . ENS is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 12.44, which compares to its industry's average of 22.58. Over the past year, ENS's Forward P/E has been as high as 17.47 and as low as 10.85, with a median of 13.63.
Investors should also note that ENS holds a PEG ratio of 0.89. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ENS's PEG compares to its industry's average PEG of 2.06. Over the past 52 weeks, ENS's PEG has been as high as 1.42 and as low as 0.83, with a median of 1.12.
Another valuation metric that we should highlight is ENS's P/B ratio of 2.52. The P/B is a method of comparing a stock's market value to 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 3.05. ENS's P/B has been as high as 2.75 and as low as 1.66, with a median of 2.17, over the past year.
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. ENS has a P/S ratio of 1.12. This compares to its industry's average P/S of 2.81.
These are just a handful of the figures considered in Enersys'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 ENS is an impressive value stock right now.
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Are Investors Undervaluing Enersys (ENS) Right Now?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
One company value investors might notice is Enersys (ENS - Free Report) . ENS is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 12.44, which compares to its industry's average of 22.58. Over the past year, ENS's Forward P/E has been as high as 17.47 and as low as 10.85, with a median of 13.63.
Investors should also note that ENS holds a PEG ratio of 0.89. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ENS's PEG compares to its industry's average PEG of 2.06. Over the past 52 weeks, ENS's PEG has been as high as 1.42 and as low as 0.83, with a median of 1.12.
Another valuation metric that we should highlight is ENS's P/B ratio of 2.52. The P/B is a method of comparing a stock's market value to 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 3.05. ENS's P/B has been as high as 2.75 and as low as 1.66, with a median of 2.17, over the past year.
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. ENS has a P/S ratio of 1.12. This compares to its industry's average P/S of 2.81.
These are just a handful of the figures considered in Enersys'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 ENS is an impressive value stock right now.