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Are Investors Undervaluing Century Communities (CCS) 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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
One company value investors might notice is Century Communities (CCS - Free Report) . CCS is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock has a Forward P/E ratio of 8.56. This compares to its industry's average Forward P/E of 10.81. Over the past 52 weeks, CCS's Forward P/E has been as high as 12.26 and as low as 6.86, with a median of 9.16.
Another notable valuation metric for CCS is its P/B ratio of 1.18. 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 stock's P/B looks solid versus its industry's average P/B of 1.72. Over the past 12 months, CCS's P/B has been as high as 1.27 and as low as 0.80, with a median of 1.03.
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 prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CCS has a P/S ratio of 0.74. This compares to its industry's average P/S of 0.89.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Century Communities is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CCS feels like a great value stock at the moment.
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Are Investors Undervaluing Century Communities (CCS) 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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
One company value investors might notice is Century Communities (CCS - Free Report) . CCS is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock has a Forward P/E ratio of 8.56. This compares to its industry's average Forward P/E of 10.81. Over the past 52 weeks, CCS's Forward P/E has been as high as 12.26 and as low as 6.86, with a median of 9.16.
Another notable valuation metric for CCS is its P/B ratio of 1.18. 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 stock's P/B looks solid versus its industry's average P/B of 1.72. Over the past 12 months, CCS's P/B has been as high as 1.27 and as low as 0.80, with a median of 1.03.
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 prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. CCS has a P/S ratio of 0.74. This compares to its industry's average P/S of 0.89.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Century Communities is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CCS feels like a great value stock at the moment.