Back to top

Image: Bigstock

Why CVR Refining (CVRR) Could Be a Top Value Stock Pick

Read MoreHide Full Article

Value investing is always a very popular strategy, and for good reason. After all, who doesn’t want to find stocks that have low PEs, solid outlooks, and decent dividends?

Fortunately for investors looking for this combination, we have identified a strong candidate which may be an impressive value; CVR Refining, LP .

CVR Refining in Focus

CVRR may be an interesting play thanks to its forward PE of 8.2, its P/S ratio of 0.3, and its decent dividend yield of 30.6%. These factors suggest that CVR Refining is a pretty good value pick, as investors have to pay a relatively low level for each dollar of earnings, and that CVRR has decent revenue metrics to back up its earnings.

CVR Refining, LP PS Ratio (TTM)

But before you think that CVR Refining is just a pure value play, it is important to note that it has been seeing solid activity on the earnings estimate front as well. For current year earnings, the consensus has gone up by 45.7% in the past 30 days, thanks to one upward revisions in the past one month compared to none lower.

This estimate strength is actually enough to push CVRR to a Zacks Rank #1 (Strong Buy), suggesting it is poised to outperform. You can see the complete list of today’s Zacks #1 Rank stocks here.

So really, CVR Refining is looking great from a number of angles thanks to its PE below 20, a P/S ratio below one, and a strong Zacks Rank, meaning that this company could be a great choice for value investors at this time.

Zacks' Hidden Trades

While we share many recommendations and ideas with the public, certain moves are hidden from everyone but selected members of our portfolio services. Would you like to peek behind the curtain today and view them?                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
Starting now, for the next month, I invite you to follow all Zacks' private buys and sells in real time from value to momentum...from stocks under $10 to ETF to option movers...from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors.

Click here for Zacks' secret trade>>

Published in