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Should Value Investors Buy Broadwind Energy (BWEN) 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.

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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

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 stock to keep an eye on is Broadwind Energy (BWEN - Free Report) . BWEN is currently sporting a Zacks Rank #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 14.35 right now. For comparison, its industry sports an average P/E of 21.28. Over the last 12 months, BWEN's Forward P/E has been as high as 122.56 and as low as 4.52, with a median of 8.47.

Finally, we should also recognize that BWEN has a P/CF ratio of 8.34. 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 20.84. Over the past 52 weeks, BWEN's P/CF has been as high as 9.52 and as low as 3.26, with a median of 4.84.

These are only a few of the key metrics included in Broadwind Energy'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, BWEN looks like an impressive value stock at the moment.


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