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Should Value Investors Buy Central Garden & Pet (CENT) Stock?
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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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 Central Garden & Pet (CENT - Free Report) . CENT is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Another notable valuation metric for CENT is its P/B ratio of 1.99. 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. CENT's current P/B looks attractive when compared to its industry's average P/B of 5.61. Over the past 12 months, CENT's P/B has been as high as 2.02 and as low as 1.40, with a median of 1.61.
Finally, investors should note that CENT has a P/CF ratio of 12.72. 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 43.13. Within the past 12 months, CENT's P/CF has been as high as 12.90 and as low as 9.21, with a median of 10.69.
Investors could also keep in mind Central Garden & Pet (CENTA - Free Report) , an Consumer Products - Discretionary stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Central Garden & Pet sports a P/B ratio of 1.70 as well; this compares to its industry's price-to-book ratio of 5.61. In the past 52 weeks, CENTA's P/B has been as high as 1.76, as low as 1.31, with a median of 1.50.
These are just a handful of the figures considered in Central Garden & Pet and Central Garden & Pet'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 CENT and CENTA is an impressive value stock right now.
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Should Value Investors Buy Central Garden & Pet (CENT) Stock?
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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 Central Garden & Pet (CENT - Free Report) . CENT is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Another notable valuation metric for CENT is its P/B ratio of 1.99. 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. CENT's current P/B looks attractive when compared to its industry's average P/B of 5.61. Over the past 12 months, CENT's P/B has been as high as 2.02 and as low as 1.40, with a median of 1.61.
Finally, investors should note that CENT has a P/CF ratio of 12.72. 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 43.13. Within the past 12 months, CENT's P/CF has been as high as 12.90 and as low as 9.21, with a median of 10.69.
Investors could also keep in mind Central Garden & Pet (CENTA - Free Report) , an Consumer Products - Discretionary stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Central Garden & Pet sports a P/B ratio of 1.70 as well; this compares to its industry's price-to-book ratio of 5.61. In the past 52 weeks, CENTA's P/B has been as high as 1.76, as low as 1.31, with a median of 1.50.
These are just a handful of the figures considered in Central Garden & Pet and Central Garden & Pet'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 CENT and CENTA is an impressive value stock right now.