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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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is PetIQ (PETQ - Free Report) . PETQ is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 13.91, while its industry has an average P/E of 21.04. PETQ's Forward P/E has been as high as 22.18 and as low as 10.83, with a median of 16.07, all within the past year.
Investors should also note that PETQ holds a PEG ratio of 1.90. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. PETQ's industry currently sports an average PEG of 2.26. PETQ's PEG has been as high as 2.77 and as low as 1.35, with a median of 2.10, all within the past year.
Another notable valuation metric for PETQ is its P/B ratio of 2.45. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. PETQ's current P/B looks attractive when compared to its industry's average P/B of 4.62. Within the past 52 weeks, PETQ's P/B has been as high as 2.75 and as low as 1.43, with a median of 2.26.
Finally, we should also recognize that PETQ has a P/CF ratio of 9.98. 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. This stock's P/CF looks attractive against its industry's average P/CF of 34.36. Over the past year, PETQ's P/CF has been as high as 13.39 and as low as 8.36, with a median of 9.98.
These are only a few of the key metrics included in PetIQ's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, PETQ looks like an impressive value stock at the moment.
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Should Value Investors Buy PetIQ (PETQ) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is PetIQ (PETQ - Free Report) . PETQ is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 13.91, while its industry has an average P/E of 21.04. PETQ's Forward P/E has been as high as 22.18 and as low as 10.83, with a median of 16.07, all within the past year.
Investors should also note that PETQ holds a PEG ratio of 1.90. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. PETQ's industry currently sports an average PEG of 2.26. PETQ's PEG has been as high as 2.77 and as low as 1.35, with a median of 2.10, all within the past year.
Another notable valuation metric for PETQ is its P/B ratio of 2.45. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. PETQ's current P/B looks attractive when compared to its industry's average P/B of 4.62. Within the past 52 weeks, PETQ's P/B has been as high as 2.75 and as low as 1.43, with a median of 2.26.
Finally, we should also recognize that PETQ has a P/CF ratio of 9.98. 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. This stock's P/CF looks attractive against its industry's average P/CF of 34.36. Over the past year, PETQ's P/CF has been as high as 13.39 and as low as 8.36, with a median of 9.98.
These are only a few of the key metrics included in PetIQ's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, PETQ looks like an impressive value stock at the moment.