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Is Paramount Group (PGRE) Stock Undervalued Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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.
Paramount Group (PGRE - Free Report) is a stock many investors are watching right now. PGRE 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 7.09, which compares to its industry's average of 14.93. PGRE's Forward P/E has been as high as 8.06 and as low as 4.47, with a median of 5.84, all within the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by 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. PGRE has a P/S ratio of 1.31. This compares to its industry's average P/S of 3.85.
Another great REIT and Equity Trust - Other stock you could consider is Xenia Hotels & Resorts (XHR - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Additionally, Xenia Hotels & Resorts has a P/B ratio of 1.02 while its industry's price-to-book ratio sits at 1.69. For XHR, this valuation metric has been as high as 1.16, as low as 0.85, with a median of 0.98 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Paramount Group and Xenia Hotels & Resorts are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, PGRE and XHR feels like a great value stock at the moment.
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Is Paramount Group (PGRE) Stock Undervalued Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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.
Paramount Group (PGRE - Free Report) is a stock many investors are watching right now. PGRE 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 7.09, which compares to its industry's average of 14.93. PGRE's Forward P/E has been as high as 8.06 and as low as 4.47, with a median of 5.84, all within the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by 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. PGRE has a P/S ratio of 1.31. This compares to its industry's average P/S of 3.85.
Another great REIT and Equity Trust - Other stock you could consider is Xenia Hotels & Resorts (XHR - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Additionally, Xenia Hotels & Resorts has a P/B ratio of 1.02 while its industry's price-to-book ratio sits at 1.69. For XHR, this valuation metric has been as high as 1.16, as low as 0.85, with a median of 0.98 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Paramount Group and Xenia Hotels & Resorts are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, PGRE and XHR feels like a great value stock at the moment.