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Should Value Investors Buy Colony Bankcorp (CBAN) Stock?
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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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 company to watch right now is Colony Bankcorp (CBAN - Free Report) . CBAN is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 7.49 right now. For comparison, its industry sports an average P/E of 9.31. Over the past 52 weeks, CBAN's Forward P/E has been as high as 9.95 and as low as 6.81, with a median of 7.82.
Another notable valuation metric for CBAN is its P/B ratio of 0.78. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. CBAN's current P/B looks attractive when compared to its industry's average P/B of 1.64. Over the past 12 months, CBAN's P/B has been as high as 1.07 and as low as 0.64, with a median of 0.76.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CBAN has a P/S ratio of 1.21. This compares to its industry's average P/S of 1.74.
Finally, our model also underscores that CBAN has a P/CF ratio of 6.03. 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. CBAN's P/CF compares to its industry's average P/CF of 10.20. Within the past 12 months, CBAN's P/CF has been as high as 7.95 and as low as 5.12, with a median of 5.92.
These are just a handful of the figures considered in Colony Bankcorp'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 CBAN is an impressive value stock right now.
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Should Value Investors Buy Colony Bankcorp (CBAN) Stock?
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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 company to watch right now is Colony Bankcorp (CBAN - Free Report) . CBAN is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 7.49 right now. For comparison, its industry sports an average P/E of 9.31. Over the past 52 weeks, CBAN's Forward P/E has been as high as 9.95 and as low as 6.81, with a median of 7.82.
Another notable valuation metric for CBAN is its P/B ratio of 0.78. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. CBAN's current P/B looks attractive when compared to its industry's average P/B of 1.64. Over the past 12 months, CBAN's P/B has been as high as 1.07 and as low as 0.64, with a median of 0.76.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CBAN has a P/S ratio of 1.21. This compares to its industry's average P/S of 1.74.
Finally, our model also underscores that CBAN has a P/CF ratio of 6.03. 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. CBAN's P/CF compares to its industry's average P/CF of 10.20. Within the past 12 months, CBAN's P/CF has been as high as 7.95 and as low as 5.12, with a median of 5.92.
These are just a handful of the figures considered in Colony Bankcorp'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 CBAN is an impressive value stock right now.