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Should Value Investors Buy ANYWHERE RE INC (HOUS) Stock?

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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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.

ANYWHERE RE INC (HOUS - Free Report) is a stock many investors are watching right now. HOUS is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.

We should also highlight that HOUS has a P/B ratio of 0.34. 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 attractive against its industry's average P/B of 0.59. HOUS's P/B has been as high as 0.60 and as low as 0.26, with a median of 0.42, over the past year.

Finally, investors should note that HOUS has a P/CF ratio of 5.28. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. HOUS's P/CF compares to its industry's average P/CF of 7.52. Within the past 12 months, HOUS's P/CF has been as high as 8.38 and as low as -8.67, with a median of -2.64.

If you're looking for another solid Real Estate - Operations value stock, take a look at Newmark Group (NMRK - Free Report) . NMRK is a # 2 (Buy) stock with a Value score of A.

Additionally, Newmark Group has a P/B ratio of 1.18 while its industry's price-to-book ratio sits at 0.59. For NMRK, this valuation metric has been as high as 1.28, as low as 0.60, with a median of 0.80 over the past year.

These figures are just a handful of the metrics value investors tend to look at, but they help show that ANYWHERE RE INC and Newmark Group are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, HOUS and NMRK feels like a great value stock at the moment.


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