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Are Investors Undervaluing Euroseas (ESEA) Right Now?
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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.
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 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 stock to keep an eye on is Euroseas (ESEA - Free Report) . ESEA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 3.35 right now. For comparison, its industry sports an average P/E of 5.91. ESEA's Forward P/E has been as high as 3.66 and as low as 1.81, with a median of 2.29, all within the past year.
We should also highlight that ESEA has a P/B ratio of 0.98. 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. ESEA's current P/B looks attractive when compared to its industry's average P/B of 1.36. ESEA's P/B has been as high as 1.08 and as low as 0.64, with a median of 0.79, over the past year.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. ESEA has a P/S ratio of 1.36. This compares to its industry's average P/S of 1.37.
Finally, we should also recognize that ESEA has a P/CF ratio of 2.04. 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. ESEA's current P/CF looks attractive when compared to its industry's average P/CF of 7.18. Within the past 12 months, ESEA's P/CF has been as high as 2.26 and as low as 1.06, with a median of 1.55.
If you're looking for another solid Transportation - Shipping value stock, take a look at International Seaways (INSW - Free Report) . INSW is a # 2 (Buy) stock with a Value score of A.
International Seaways sports a P/B ratio of 1.48 as well; this compares to its industry's price-to-book ratio of 1.36. In the past 52 weeks, INSW's P/B has been as high as 1.57, as low as 1.09, with a median of 1.34.
These are only a few of the key metrics included in Euroseas and International Seaways strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, ESEA and INSW look like an impressive value stock at the moment.
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Are Investors Undervaluing Euroseas (ESEA) Right Now?
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.
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 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 stock to keep an eye on is Euroseas (ESEA - Free Report) . ESEA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 3.35 right now. For comparison, its industry sports an average P/E of 5.91. ESEA's Forward P/E has been as high as 3.66 and as low as 1.81, with a median of 2.29, all within the past year.
We should also highlight that ESEA has a P/B ratio of 0.98. 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. ESEA's current P/B looks attractive when compared to its industry's average P/B of 1.36. ESEA's P/B has been as high as 1.08 and as low as 0.64, with a median of 0.79, over the past year.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. ESEA has a P/S ratio of 1.36. This compares to its industry's average P/S of 1.37.
Finally, we should also recognize that ESEA has a P/CF ratio of 2.04. 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. ESEA's current P/CF looks attractive when compared to its industry's average P/CF of 7.18. Within the past 12 months, ESEA's P/CF has been as high as 2.26 and as low as 1.06, with a median of 1.55.
If you're looking for another solid Transportation - Shipping value stock, take a look at International Seaways (INSW - Free Report) . INSW is a # 2 (Buy) stock with a Value score of A.
International Seaways sports a P/B ratio of 1.48 as well; this compares to its industry's price-to-book ratio of 1.36. In the past 52 weeks, INSW's P/B has been as high as 1.57, as low as 1.09, with a median of 1.34.
These are only a few of the key metrics included in Euroseas and International Seaways strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, ESEA and INSW look like an impressive value stock at the moment.