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Should Value Investors Buy A.P. Moller-Maersk (AMKBY) Stock?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
A.P. Moller-Maersk (AMKBY - Free Report) is a stock many investors are watching right now. AMKBY is currently sporting a Zacks Rank #2 (Buy) and an A for Value.
Another valuation metric that we should highlight is AMKBY's P/B ratio of 0.56. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.47. Over the past 12 months, AMKBY's P/B has been as high as 0.64 and as low as 0.39, with a median of 0.48.
Value investors also use the P/S ratio. The P/S ratio is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. AMKBY has a P/S ratio of 0.55. This compares to its industry's average P/S of 1.37.
Finally, investors should note that AMKBY has a P/CF ratio of 2.39. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 5.64. Over the past 52 weeks, AMKBY's P/CF has been as high as 3.39 and as low as 1.65, with a median of 2.28.
Investors could also keep in mind International Seaways (INSW - Free Report) , another Transportation - Shipping stock with a Zacks Rank of #2 (Buy) and Value grade of A.
International Seaways sports a P/B ratio of 1.24 as well; this compares to its industry's price-to-book ratio of 1.47. In the past 52 weeks, INSW's P/B has been as high as 1.44, as low as 0.76, with a median of 1.02.
These figures are just a handful of the metrics value investors tend to look at, but they help show that A.P. Moller-Maersk and International Seaways are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AMKBY and INSW feels like a great value stock at the moment.
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Should Value Investors Buy A.P. Moller-Maersk (AMKBY) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
A.P. Moller-Maersk (AMKBY - Free Report) is a stock many investors are watching right now. AMKBY is currently sporting a Zacks Rank #2 (Buy) and an A for Value.
Another valuation metric that we should highlight is AMKBY's P/B ratio of 0.56. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.47. Over the past 12 months, AMKBY's P/B has been as high as 0.64 and as low as 0.39, with a median of 0.48.
Value investors also use the P/S ratio. The P/S ratio is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. AMKBY has a P/S ratio of 0.55. This compares to its industry's average P/S of 1.37.
Finally, investors should note that AMKBY has a P/CF ratio of 2.39. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 5.64. Over the past 52 weeks, AMKBY's P/CF has been as high as 3.39 and as low as 1.65, with a median of 2.28.
Investors could also keep in mind International Seaways (INSW - Free Report) , another Transportation - Shipping stock with a Zacks Rank of #2 (Buy) and Value grade of A.
International Seaways sports a P/B ratio of 1.24 as well; this compares to its industry's price-to-book ratio of 1.47. In the past 52 weeks, INSW's P/B has been as high as 1.44, as low as 0.76, with a median of 1.02.
These figures are just a handful of the metrics value investors tend to look at, but they help show that A.P. Moller-Maersk and International Seaways are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AMKBY and INSW feels like a great value stock at the moment.