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Are Investors Undervaluing Ranger Energy Services (RNGR) Right Now?
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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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader 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 Ranger Energy Services (RNGR - Free Report) . RNGR is currently holding a Zacks Rank #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 10.24, while its industry has an average P/E of 15.02. Over the past year, RNGR's Forward P/E has been as high as 15.77 and as low as 9.48, with a median of 10.71.
Another notable valuation metric for RNGR is its P/B ratio of 1.08. 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. RNGR's current P/B looks attractive when compared to its industry's average P/B of 2.04. Over the past 12 months, RNGR's P/B has been as high as 1.47 and as low as 0.88, with a median of 1.08.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. RNGR has a P/S ratio of 0.54. This compares to its industry's average P/S of 0.75.
Finally, investors should note that RNGR has a P/CF ratio of 4.73. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 7.10. Within the past 12 months, RNGR's P/CF has been as high as 6.63 and as low as 3.89, with a median of 4.78.
Value investors will likely look at more than just these metrics, but the above data helps show that Ranger Energy Services is likely undervalued currently. And when considering the strength of its earnings outlook, RNGR sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing Ranger Energy Services (RNGR) Right Now?
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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader 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 Ranger Energy Services (RNGR - Free Report) . RNGR is currently holding a Zacks Rank #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 10.24, while its industry has an average P/E of 15.02. Over the past year, RNGR's Forward P/E has been as high as 15.77 and as low as 9.48, with a median of 10.71.
Another notable valuation metric for RNGR is its P/B ratio of 1.08. 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. RNGR's current P/B looks attractive when compared to its industry's average P/B of 2.04. Over the past 12 months, RNGR's P/B has been as high as 1.47 and as low as 0.88, with a median of 1.08.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. RNGR has a P/S ratio of 0.54. This compares to its industry's average P/S of 0.75.
Finally, investors should note that RNGR has a P/CF ratio of 4.73. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 7.10. Within the past 12 months, RNGR's P/CF has been as high as 6.63 and as low as 3.89, with a median of 4.78.
Value investors will likely look at more than just these metrics, but the above data helps show that Ranger Energy Services is likely undervalued currently. And when considering the strength of its earnings outlook, RNGR sticks out as one of the market's strongest value stocks.