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Are Investors Undervaluing Covenant Logistics Group (CVLG) 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Covenant Logistics Group (CVLG - Free Report) . CVLG is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 11.63. This compares to its industry's average Forward P/E of 27.84. Over the past year, CVLG's Forward P/E has been as high as 12.97 and as low as 7.86, with a median of 9.71.
We should also highlight that CVLG has a P/B ratio of 1.70. 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. This stock's P/B looks attractive against its industry's average P/B of 4.47. Within the past 52 weeks, CVLG's P/B has been as high as 2.77 and as low as 1.17, with a median of 1.44.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by 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. CVLG has a P/S ratio of 0.6. This compares to its industry's average P/S of 1.31.
Finally, our model also underscores that CVLG has a P/CF ratio of 5.77. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 19.86. Over the past year, CVLG's P/CF has been as high as 6.10 and as low as 2.78, with a median of 4.33.
Value investors will likely look at more than just these metrics, but the above data helps show that Covenant Logistics Group is likely undervalued currently. And when considering the strength of its earnings outlook, CVLG sticks out at as one of the market's strongest value stocks.
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Are Investors Undervaluing Covenant Logistics Group (CVLG) 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Covenant Logistics Group (CVLG - Free Report) . CVLG is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 11.63. This compares to its industry's average Forward P/E of 27.84. Over the past year, CVLG's Forward P/E has been as high as 12.97 and as low as 7.86, with a median of 9.71.
We should also highlight that CVLG has a P/B ratio of 1.70. 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. This stock's P/B looks attractive against its industry's average P/B of 4.47. Within the past 52 weeks, CVLG's P/B has been as high as 2.77 and as low as 1.17, with a median of 1.44.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by 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. CVLG has a P/S ratio of 0.6. This compares to its industry's average P/S of 1.31.
Finally, our model also underscores that CVLG has a P/CF ratio of 5.77. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 19.86. Over the past year, CVLG's P/CF has been as high as 6.10 and as low as 2.78, with a median of 4.33.
Value investors will likely look at more than just these metrics, but the above data helps show that Covenant Logistics Group is likely undervalued currently. And when considering the strength of its earnings outlook, CVLG sticks out at as one of the market's strongest value stocks.