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Are Investors Undervaluing First Bank (FRBA) 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.
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.
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.
First Bank (FRBA - Free Report) is a stock many investors are watching right now. FRBA is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.29, which compares to its industry's average of 9.56. FRBA's Forward P/E has been as high as 9.55 and as low as 5.38, with a median of 7.35, all within the past year.
We should also highlight that FRBA has a P/B ratio of 0.76. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 1.35. Within the past 52 weeks, FRBA's P/B has been as high as 0.94 and as low as 0.57, with a median of 0.73.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FRBA has a P/S ratio of 1.75. This compares to its industry's average P/S of 1.84.
These figures are just a handful of the metrics value investors tend to look at, but they help show that First Bank is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, FRBA feels like a great value stock at the moment.
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Are Investors Undervaluing First Bank (FRBA) 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.
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.
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.
First Bank (FRBA - Free Report) is a stock many investors are watching right now. FRBA is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.29, which compares to its industry's average of 9.56. FRBA's Forward P/E has been as high as 9.55 and as low as 5.38, with a median of 7.35, all within the past year.
We should also highlight that FRBA has a P/B ratio of 0.76. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 1.35. Within the past 52 weeks, FRBA's P/B has been as high as 0.94 and as low as 0.57, with a median of 0.73.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FRBA has a P/S ratio of 1.75. This compares to its industry's average P/S of 1.84.
These figures are just a handful of the metrics value investors tend to look at, but they help show that First Bank is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, FRBA feels like a great value stock at the moment.