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 Concentrix (CNXC) 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, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Concentrix (CNXC - Free Report) is a stock many investors are watching right now. CNXC is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
Investors should also note that CNXC holds a PEG ratio of 0.92. 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. CNXC's PEG compares to its industry's average PEG of 1.86. CNXC's PEG has been as high as 1.35 and as low as 0.57, with a median of 0.79, all within the past year.
Investors should also recognize that CNXC has a P/B ratio of 1.65. 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 company's current P/B looks solid when compared to its industry's average P/B of 3.01. CNXC's P/B has been as high as 2.90 and as low as 1.25, with a median of 1.63, over the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CNXC has a P/S ratio of 0.96. This compares to its industry's average P/S of 1.06.
Finally, our model also underscores that CNXC has a P/CF ratio of 7.29. 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 24.85. CNXC's P/CF has been as high as 10.45 and as low as 5.46, with a median of 6.53, all within the past year.
Another great Business - Services stock you could consider is Viad Corp (VVI - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Shares of Viad Corp are currently trading at a forward earnings multiple of 20.97 and a PEG ratio of 1.40 compared to its industry's P/E and PEG ratios of 24.49 and 1.86, respectively.
Over the last 12 months, VVI's P/E has been as high as 38.24, as low as -83.69, with a median of 26.67, and its PEG ratio has been as high as 2.55, as low as -5.58, with a median of 1.78.
Furthermore, Viad Corp holds a P/B ratio of 4.92 and its industry's price-to-book ratio is 3.01. VVI's P/B has been as high as 7.25, as low as 3.40, with a median of 5.68 over the past 12 months.
These are just a handful of the figures considered in Concentrix and Viad Corp'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 CNXC and VVI is an impressive value stock right now.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Are Investors Undervaluing Concentrix (CNXC) 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, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Concentrix (CNXC - Free Report) is a stock many investors are watching right now. CNXC is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
Investors should also note that CNXC holds a PEG ratio of 0.92. 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. CNXC's PEG compares to its industry's average PEG of 1.86. CNXC's PEG has been as high as 1.35 and as low as 0.57, with a median of 0.79, all within the past year.
Investors should also recognize that CNXC has a P/B ratio of 1.65. 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 company's current P/B looks solid when compared to its industry's average P/B of 3.01. CNXC's P/B has been as high as 2.90 and as low as 1.25, with a median of 1.63, over the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CNXC has a P/S ratio of 0.96. This compares to its industry's average P/S of 1.06.
Finally, our model also underscores that CNXC has a P/CF ratio of 7.29. 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 24.85. CNXC's P/CF has been as high as 10.45 and as low as 5.46, with a median of 6.53, all within the past year.
Another great Business - Services stock you could consider is Viad Corp (VVI - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Shares of Viad Corp are currently trading at a forward earnings multiple of 20.97 and a PEG ratio of 1.40 compared to its industry's P/E and PEG ratios of 24.49 and 1.86, respectively.
Over the last 12 months, VVI's P/E has been as high as 38.24, as low as -83.69, with a median of 26.67, and its PEG ratio has been as high as 2.55, as low as -5.58, with a median of 1.78.
Furthermore, Viad Corp holds a P/B ratio of 4.92 and its industry's price-to-book ratio is 3.01. VVI's P/B has been as high as 7.25, as low as 3.40, with a median of 5.68 over the past 12 months.
These are just a handful of the figures considered in Concentrix and Viad Corp'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 CNXC and VVI is an impressive value stock right now.