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Are Investors Undervaluing Frontdoor (FTDR) 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.
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 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.
One stock to keep an eye on is Frontdoor (FTDR - Free Report) . FTDR is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 13.07. This compares to its industry's average Forward P/E of 17.97. FTDR's Forward P/E has been as high as 24.33 and as low as 13.07, with a median of 18.23, all within the past year.
Investors should also note that FTDR holds a PEG ratio of 0.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. FTDR's industry has an average PEG of 1.45 right now.
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. FTDR has a P/S ratio of 1.35. This compares to its industry's average P/S of 1.6.
Finally, our model also underscores that FTDR has a P/CF ratio of 11.87. 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 23.34. Over the past year, FTDR's P/CF has been as high as 20.23 and as low as 10.98, with a median of 14.85.
These are just a handful of the figures considered in Frontdoor'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 FTDR is an impressive value stock right now.
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Are Investors Undervaluing Frontdoor (FTDR) 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.
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 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.
One stock to keep an eye on is Frontdoor (FTDR - Free Report) . FTDR is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 13.07. This compares to its industry's average Forward P/E of 17.97. FTDR's Forward P/E has been as high as 24.33 and as low as 13.07, with a median of 18.23, all within the past year.
Investors should also note that FTDR holds a PEG ratio of 0.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. FTDR's industry has an average PEG of 1.45 right now.
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. FTDR has a P/S ratio of 1.35. This compares to its industry's average P/S of 1.6.
Finally, our model also underscores that FTDR has a P/CF ratio of 11.87. 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 23.34. Over the past year, FTDR's P/CF has been as high as 20.23 and as low as 10.98, with a median of 14.85.
These are just a handful of the figures considered in Frontdoor'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 FTDR is an impressive value stock right now.