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Are Investors Undervaluing Fidelity National Information Services (FIS) 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 company to watch right now is Fidelity National Information Services (FIS - Free Report) . FIS is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 14.35, which compares to its industry's average of 22.75. Over the past year, FIS's Forward P/E has been as high as 17.30 and as low as 7.58, with a median of 9.61.
Investors will also notice that FIS has a PEG ratio of 0.84. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. FIS's industry has an average PEG of 1.42 right now. FIS's PEG has been as high as 1.67 and as low as 0.73, with a median of 0.87, all within the past year.
If you're looking for another solid Financial Transaction Services value stock, take a look at Western Union (WU - Free Report) . WU is a # 2 (Buy) stock with a Value score of A.
Western Union is trading at a forward earnings multiple of 7.69 at the moment, with a PEG ratio of 4.75. This compares to its industry's average P/E of 22.75 and average PEG ratio of 1.42.
WU's Forward P/E has been as high as 8.31 and as low as 6.47, with a median of 7.31. During the same time period, its PEG ratio has been as high as 5.13, as low as 3.70, with a median of 4.25.
Furthermore, Western Union holds a P/B ratio of 11.45 and its industry's price-to-book ratio is 7.55. WU's P/B has been as high as 11.69, as low as 6.51, with a median of 7.82 over the past 12 months.
Value investors will likely look at more than just these metrics, but the above data helps show that Fidelity National Information Services and Western Union are likely undervalued currently. And when considering the strength of its earnings outlook, FIS and WU sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing Fidelity National Information Services (FIS) 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 company to watch right now is Fidelity National Information Services (FIS - Free Report) . FIS is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 14.35, which compares to its industry's average of 22.75. Over the past year, FIS's Forward P/E has been as high as 17.30 and as low as 7.58, with a median of 9.61.
Investors will also notice that FIS has a PEG ratio of 0.84. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. FIS's industry has an average PEG of 1.42 right now. FIS's PEG has been as high as 1.67 and as low as 0.73, with a median of 0.87, all within the past year.
If you're looking for another solid Financial Transaction Services value stock, take a look at Western Union (WU - Free Report) . WU is a # 2 (Buy) stock with a Value score of A.
Western Union is trading at a forward earnings multiple of 7.69 at the moment, with a PEG ratio of 4.75. This compares to its industry's average P/E of 22.75 and average PEG ratio of 1.42.
WU's Forward P/E has been as high as 8.31 and as low as 6.47, with a median of 7.31. During the same time period, its PEG ratio has been as high as 5.13, as low as 3.70, with a median of 4.25.
Furthermore, Western Union holds a P/B ratio of 11.45 and its industry's price-to-book ratio is 7.55. WU's P/B has been as high as 11.69, as low as 6.51, with a median of 7.82 over the past 12 months.
Value investors will likely look at more than just these metrics, but the above data helps show that Fidelity National Information Services and Western Union are likely undervalued currently. And when considering the strength of its earnings outlook, FIS and WU sticks out as one of the market's strongest value stocks.