We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Are Investors Undervaluing Comcast (CMCSA) Right Now?
Read MoreHide Full Article
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.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
Comcast (CMCSA - Free Report) is a stock many investors are watching right now. CMCSA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 9.48, which compares to its industry's average of 9.79. Over the past year, CMCSA's Forward P/E has been as high as 11.59 and as low as 7.96, with a median of 10.35.
Investors should also note that CMCSA holds a PEG ratio of 0.98. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CMCSA's industry currently sports an average PEG of 1.04. Within the past year, CMCSA's PEG has been as high as 1.23 and as low as 0.60, with a median of 0.82.
Finally, investors will want to recognize that CMCSA has a P/CF ratio of 5.58. 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. CMCSA's current P/CF looks attractive when compared to its industry's average P/CF of 8.65. CMCSA's P/CF has been as high as 9.56 and as low as 5.51, with a median of 8.47, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Comcast is likely undervalued currently. And when considering the strength of its earnings outlook, CMCSA sticks out at as one of the market's strongest value stocks.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Are Investors Undervaluing Comcast (CMCSA) 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.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
Comcast (CMCSA - Free Report) is a stock many investors are watching right now. CMCSA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 9.48, which compares to its industry's average of 9.79. Over the past year, CMCSA's Forward P/E has been as high as 11.59 and as low as 7.96, with a median of 10.35.
Investors should also note that CMCSA holds a PEG ratio of 0.98. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CMCSA's industry currently sports an average PEG of 1.04. Within the past year, CMCSA's PEG has been as high as 1.23 and as low as 0.60, with a median of 0.82.
Finally, investors will want to recognize that CMCSA has a P/CF ratio of 5.58. 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. CMCSA's current P/CF looks attractive when compared to its industry's average P/CF of 8.65. CMCSA's P/CF has been as high as 9.56 and as low as 5.51, with a median of 8.47, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Comcast is likely undervalued currently. And when considering the strength of its earnings outlook, CMCSA sticks out at as one of the market's strongest value stocks.