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Should Value Investors Buy The ONE Group Hospitality (STKS) Stock?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 company value investors might notice is The ONE Group Hospitality (STKS - Free Report) . STKS is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 22.78 right now. For comparison, its industry sports an average P/E of 23.11. Over the past year, STKS's Forward P/E has been as high as 30.03 and as low as 7.41, with a median of 10.88.
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. STKS has a P/S ratio of 0.52. This compares to its industry's average P/S of 0.86.
Finally, we should also recognize that STKS has a P/CF ratio of 9.97. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 18.24. Within the past 12 months, STKS's P/CF has been as high as 10.98 and as low as 5.19, with a median of 8.86.
Value investors will likely look at more than just these metrics, but the above data helps show that The ONE Group Hospitality is likely undervalued currently. And when considering the strength of its earnings outlook, STKS sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy The ONE Group Hospitality (STKS) Stock?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 company value investors might notice is The ONE Group Hospitality (STKS - Free Report) . STKS is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 22.78 right now. For comparison, its industry sports an average P/E of 23.11. Over the past year, STKS's Forward P/E has been as high as 30.03 and as low as 7.41, with a median of 10.88.
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. STKS has a P/S ratio of 0.52. This compares to its industry's average P/S of 0.86.
Finally, we should also recognize that STKS has a P/CF ratio of 9.97. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 18.24. Within the past 12 months, STKS's P/CF has been as high as 10.98 and as low as 5.19, with a median of 8.86.
Value investors will likely look at more than just these metrics, but the above data helps show that The ONE Group Hospitality is likely undervalued currently. And when considering the strength of its earnings outlook, STKS sticks out at as one of the market's strongest value stocks.