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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.
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 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 value investors might notice is Adecco (AHEXY - Free Report) . AHEXY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 12.90. This compares to its industry's average Forward P/E of 19.88. Over the past year, AHEXY's Forward P/E has been as high as 13.91 and as low as 8.83, with a median of 11.58.
Investors will also notice that AHEXY has a PEG ratio of 1.38. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. AHEXY's PEG compares to its industry's average PEG of 1.87. Over the past 52 weeks, AHEXY's PEG has been as high as 1.71 and as low as 1.27, with a median of 1.40.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. AHEXY has a P/S ratio of 0.32. This compares to its industry's average P/S of 0.77.
Finally, our model also underscores that AHEXY has a P/CF ratio of 12.31. 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. AHEXY's P/CF compares to its industry's average P/CF of 15.99. Over the past year, AHEXY's P/CF has been as high as 12.33 and as low as 7.08, with a median of 9.49.
Another great Outsourcing stock you could consider is Brink's (BCO - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Brink's sports a P/B ratio of 6.27 as well; this compares to its industry's price-to-book ratio of 13.54. In the past 52 weeks, BCO's P/B has been as high as 8.69, as low as 4.38, with a median of 5.24.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Adecco and Brink's are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AHEXY and BCO feels like a great value stock at the moment.
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Is Adecco (AHEXY) 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.
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 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 value investors might notice is Adecco (AHEXY - Free Report) . AHEXY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 12.90. This compares to its industry's average Forward P/E of 19.88. Over the past year, AHEXY's Forward P/E has been as high as 13.91 and as low as 8.83, with a median of 11.58.
Investors will also notice that AHEXY has a PEG ratio of 1.38. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. AHEXY's PEG compares to its industry's average PEG of 1.87. Over the past 52 weeks, AHEXY's PEG has been as high as 1.71 and as low as 1.27, with a median of 1.40.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. AHEXY has a P/S ratio of 0.32. This compares to its industry's average P/S of 0.77.
Finally, our model also underscores that AHEXY has a P/CF ratio of 12.31. 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. AHEXY's P/CF compares to its industry's average P/CF of 15.99. Over the past year, AHEXY's P/CF has been as high as 12.33 and as low as 7.08, with a median of 9.49.
Another great Outsourcing stock you could consider is Brink's (BCO - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Brink's sports a P/B ratio of 6.27 as well; this compares to its industry's price-to-book ratio of 13.54. In the past 52 weeks, BCO's P/B has been as high as 8.69, as low as 4.38, with a median of 5.24.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Adecco and Brink's are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AHEXY and BCO feels like a great value stock at the moment.