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Is AkzoNobel (AKZOY) a Great Value Stock Right Now?

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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.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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.

AkzoNobel (AKZOY - Free Report) is a stock many investors are watching right now. AKZOY is currently sporting a Zacks Rank #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 13.6, while its industry has an average P/E of 21.40. Over the past 52 weeks, AKZOY's Forward P/E has been as high as 14.89 and as low as 11.45, with a median of 13.08.

Investors should also note that AKZOY holds a PEG ratio of 0.85. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AKZOY's PEG compares to its industry's average PEG of 2.40. Over the past 52 weeks, AKZOY's PEG has been as high as 0.86 and as low as 0.58, with a median of 0.68.

Finally, investors should note that AKZOY has a P/CF ratio of 14.24. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. AKZOY's current P/CF looks attractive when compared to its industry's average P/CF of 24.37. AKZOY's P/CF has been as high as 14.33 and as low as 9.56, with a median of 11.58, all within the past year.

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


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