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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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
iQIYI (IQ - Free Report) is a stock many investors are watching right now. IQ is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Another notable valuation metric for IQ is its P/B ratio of 2. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 3. Within the past 52 weeks, IQ's P/B has been as high as 7.92 and as low as 1.74, with a median of 2.97.
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. IQ has a P/S ratio of 0.75. This compares to its industry's average P/S of 1.12.
Finally, our model also underscores that IQ has a P/CF ratio of 6.73. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 17. Within the past 12 months, IQ's P/CF has been as high as 10.13 and as low as 2.82, with a median of 5.02.
Value investors will likely look at more than just these metrics, but the above data helps show that iQIYI is likely undervalued currently. And when considering the strength of its earnings outlook, IQ sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy iQIYI (IQ) Stock?
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
iQIYI (IQ - Free Report) is a stock many investors are watching right now. IQ is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Another notable valuation metric for IQ is its P/B ratio of 2. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 3. Within the past 52 weeks, IQ's P/B has been as high as 7.92 and as low as 1.74, with a median of 2.97.
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. IQ has a P/S ratio of 0.75. This compares to its industry's average P/S of 1.12.
Finally, our model also underscores that IQ has a P/CF ratio of 6.73. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 17. Within the past 12 months, IQ's P/CF has been as high as 10.13 and as low as 2.82, with a median of 5.02.
Value investors will likely look at more than just these metrics, but the above data helps show that iQIYI is likely undervalued currently. And when considering the strength of its earnings outlook, IQ sticks out at as one of the market's strongest value stocks.