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Is Packaging Corporation of America (PKG) 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
One company to watch right now is Packaging Corporation of America (PKG - Free Report) . PKG is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
Investors should also recognize that PKG has a P/B ratio of 3.58. The P/B ratio is used to compare a stock's market value with 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 7.89. Over the past 12 months, PKG's P/B has been as high as 3.66 and as low as 2.63, with a median of 3.26.
Finally, investors will want to recognize that PKG has a P/CF ratio of 10.10. 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. PKG's P/CF compares to its industry's average P/CF of 18.89. Within the past 12 months, PKG's P/CF has been as high as 10.22 and as low as 7.09, with a median of 8.38.
These are only a few of the key metrics included in Packaging Corporation of America'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, PKG looks like an impressive value stock at the moment.
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Is Packaging Corporation of America (PKG) 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
One company to watch right now is Packaging Corporation of America (PKG - Free Report) . PKG is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
Investors should also recognize that PKG has a P/B ratio of 3.58. The P/B ratio is used to compare a stock's market value with 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 7.89. Over the past 12 months, PKG's P/B has been as high as 3.66 and as low as 2.63, with a median of 3.26.
Finally, investors will want to recognize that PKG has a P/CF ratio of 10.10. 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. PKG's P/CF compares to its industry's average P/CF of 18.89. Within the past 12 months, PKG's P/CF has been as high as 10.22 and as low as 7.09, with a median of 8.38.
These are only a few of the key metrics included in Packaging Corporation of America'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, PKG looks like an impressive value stock at the moment.