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Are Investors Undervaluing Civista Bancshares (CIVB) Right Now?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
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 value investors might notice is Civista Bancshares (CIVB - Free Report) . CIVB is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 7.99, while its industry has an average P/E of 10.83. Over the last 12 months, CIVB's Forward P/E has been as high as 8.41 and as low as 4.57, with a median of 6.22.
We should also highlight that CIVB has a P/B ratio of 0.85. 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. CIVB's current P/B looks attractive when compared to its industry's average P/B of 1.92. Within the past 52 weeks, CIVB's P/B has been as high as 1.06 and as low as 0.65, with a median of 0.77.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CIVB has a P/S ratio of 1.36. This compares to its industry's average P/S of 1.92.
Finally, investors will want to recognize that CIVB has a P/CF ratio of 5.45. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. CIVB's P/CF compares to its industry's average P/CF of 10.57. Over the past year, CIVB's P/CF has been as high as 8.05 and as low as 4.40, with a median of 5.24.
Another great Banks - Midwest stock you could consider is Heartland Financial USA (HTLF - Free Report) , which is a # 1 (Strong Buy) stock with a Value Score of A.
Heartland Financial USA sports a P/B ratio of 0.94 as well; this compares to its industry's price-to-book ratio of 1.92. In the past 52 weeks, HTLF's P/B has been as high as 1.33, as low as 0.66, with a median of 0.78.
Value investors will likely look at more than just these metrics, but the above data helps show that Civista Bancshares and Heartland Financial USA are likely undervalued currently. And when considering the strength of its earnings outlook, CIVB and HTLF sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing Civista Bancshares (CIVB) Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
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 value investors might notice is Civista Bancshares (CIVB - Free Report) . CIVB is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 7.99, while its industry has an average P/E of 10.83. Over the last 12 months, CIVB's Forward P/E has been as high as 8.41 and as low as 4.57, with a median of 6.22.
We should also highlight that CIVB has a P/B ratio of 0.85. 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. CIVB's current P/B looks attractive when compared to its industry's average P/B of 1.92. Within the past 52 weeks, CIVB's P/B has been as high as 1.06 and as low as 0.65, with a median of 0.77.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CIVB has a P/S ratio of 1.36. This compares to its industry's average P/S of 1.92.
Finally, investors will want to recognize that CIVB has a P/CF ratio of 5.45. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. CIVB's P/CF compares to its industry's average P/CF of 10.57. Over the past year, CIVB's P/CF has been as high as 8.05 and as low as 4.40, with a median of 5.24.
Another great Banks - Midwest stock you could consider is Heartland Financial USA (HTLF - Free Report) , which is a # 1 (Strong Buy) stock with a Value Score of A.
Heartland Financial USA sports a P/B ratio of 0.94 as well; this compares to its industry's price-to-book ratio of 1.92. In the past 52 weeks, HTLF's P/B has been as high as 1.33, as low as 0.66, with a median of 0.78.
Value investors will likely look at more than just these metrics, but the above data helps show that Civista Bancshares and Heartland Financial USA are likely undervalued currently. And when considering the strength of its earnings outlook, CIVB and HTLF sticks out as one of the market's strongest value stocks.