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Should Value Investors Buy Comp En De Mn Cemig (CIG) 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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 to watch right now is Comp En De Mn Cemig (CIG - Free Report) . CIG is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 10.64 right now. For comparison, its industry sports an average P/E of 15.04. Over the past year, CIG's Forward P/E has been as high as 10.64 and as low as 4.92, with a median of 7.83.
Investors should also recognize that CIG has a P/B ratio of 1.16. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. CIG's current P/B looks attractive when compared to its industry's average P/B of 2.41. Over the past 12 months, CIG's P/B has been as high as 1.23 and as low as 0.96, with a median of 1.09.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CIG has a P/S ratio of 0.77. This compares to its industry's average P/S of 2.3.
Value investors will likely look at more than just these metrics, but the above data helps show that Comp En De Mn Cemig is likely undervalued currently. And when considering the strength of its earnings outlook, CIG sticks out as one of the market's strongest value stocks.
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Should Value Investors Buy Comp En De Mn Cemig (CIG) Stock?
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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 to watch right now is Comp En De Mn Cemig (CIG - Free Report) . CIG is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 10.64 right now. For comparison, its industry sports an average P/E of 15.04. Over the past year, CIG's Forward P/E has been as high as 10.64 and as low as 4.92, with a median of 7.83.
Investors should also recognize that CIG has a P/B ratio of 1.16. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. CIG's current P/B looks attractive when compared to its industry's average P/B of 2.41. Over the past 12 months, CIG's P/B has been as high as 1.23 and as low as 0.96, with a median of 1.09.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CIG has a P/S ratio of 0.77. This compares to its industry's average P/S of 2.3.
Value investors will likely look at more than just these metrics, but the above data helps show that Comp En De Mn Cemig is likely undervalued currently. And when considering the strength of its earnings outlook, CIG sticks out as one of the market's strongest value stocks.