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Are Investors Undervaluing Nomad Foods Limited (NOMD) Right Now?
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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.
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.
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.
Nomad Foods Limited (NOMD - Free Report) is a stock many investors are watching right now. NOMD is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 9.42 right now. For comparison, its industry sports an average P/E of 16.74. Over the past 52 weeks, NOMD's Forward P/E has been as high as 10.82 and as low as 7.48, with a median of 9.58.
Another valuation metric that we should highlight is NOMD's P/B ratio of 1.08. 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. NOMD's current P/B looks attractive when compared to its industry's average P/B of 2.19. Over the past year, NOMD's P/B has been as high as 1.21 and as low as 0.82, with a median of 1.08.
Finally, investors should note that NOMD has a P/CF ratio of 9.42. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 16.18. Within the past 12 months, NOMD's P/CF has been as high as 10.37 and as low as 7.18, with a median of 8.95.
US Foods (USFD - Free Report) may be another strong Food - Miscellaneous stock to add to your shortlist. USFD is a # 2 (Buy) stock with a Value grade of A.
Shares of US Foods currently holds a Forward P/E ratio of 14.23, and its PEG ratio is 0.67. In comparison, its industry sports average P/E and PEG ratios of 16.74 and 2.09.
USFD's Forward P/E has been as high as 17.27 and as low as 11.55, with a median of 13.79. During the same time period, its PEG ratio has been as high as 0.82, as low as 0.56, with a median of 0.65.
US Foods sports a P/B ratio of 2.43 as well; this compares to its industry's price-to-book ratio of 2.19. In the past 52 weeks, USFD's P/B has been as high as 2.45, as low as 1.89, with a median of 2.14.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Nomad Foods Limited and US Foods are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, NOMD and USFD feels like a great value stock at the moment.
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Are Investors Undervaluing Nomad Foods Limited (NOMD) 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.
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.
Nomad Foods Limited (NOMD - Free Report) is a stock many investors are watching right now. NOMD is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 9.42 right now. For comparison, its industry sports an average P/E of 16.74. Over the past 52 weeks, NOMD's Forward P/E has been as high as 10.82 and as low as 7.48, with a median of 9.58.
Another valuation metric that we should highlight is NOMD's P/B ratio of 1.08. 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. NOMD's current P/B looks attractive when compared to its industry's average P/B of 2.19. Over the past year, NOMD's P/B has been as high as 1.21 and as low as 0.82, with a median of 1.08.
Finally, investors should note that NOMD has a P/CF ratio of 9.42. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 16.18. Within the past 12 months, NOMD's P/CF has been as high as 10.37 and as low as 7.18, with a median of 8.95.
US Foods (USFD - Free Report) may be another strong Food - Miscellaneous stock to add to your shortlist. USFD is a # 2 (Buy) stock with a Value grade of A.
Shares of US Foods currently holds a Forward P/E ratio of 14.23, and its PEG ratio is 0.67. In comparison, its industry sports average P/E and PEG ratios of 16.74 and 2.09.
USFD's Forward P/E has been as high as 17.27 and as low as 11.55, with a median of 13.79. During the same time period, its PEG ratio has been as high as 0.82, as low as 0.56, with a median of 0.65.
US Foods sports a P/B ratio of 2.43 as well; this compares to its industry's price-to-book ratio of 2.19. In the past 52 weeks, USFD's P/B has been as high as 2.45, as low as 1.89, with a median of 2.14.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Nomad Foods Limited and US Foods are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, NOMD and USFD feels like a great value stock at the moment.