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3 Value Stocks to Buy Ahead of 2018

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For many investors, the search for value in the stock market is vital. And the hunt for value is something more investors might start to consider at a time when growth investing, which stems in large part from the rise of tech giants like Amazon (AMZN - Free Report) and Apple (AAPL - Free Report) , is extremely prevalent.

Value investing can get pushed to the wayside as investors favor companies with outsized growth potential. But sometimes, growth metrics can come at the expense of reasonable value.

Investors that want to put their money in stocks that offer great bang for every investment dollar should look for companies with strong value fundamentals. On top of that, investors should also consider finding stocks that sport high Zacks Ranks.

With that said, let’s take a look at three stocks with great Zacks Ranks and solid value metrics that investors might find enticing as we head towards 2018.

E.ON SE (EONGY - Free Report)

This international energy giant is currently a Zacks Rank #2 (Buy) and sports an “A” grade for Value in our Style Scores system, which helps it earn an overall “A” VGM score. E.ON is currently trading at 15.43x earnings, which marks a substantial discount compared to the “Utility – Electric Power” industry’s average. The company’s solid P/E also fairs well against the S&P 500’s average.

E.ON’s P/S Ratio of 0.27 also comes in far below its industry’s 1.95 average and helps further demonstrate the energy company’s value for investors. The company also offers investors a respectable dividend yield of 1.50%.

Toyota Motor Corporation (TM - Free Report)

Toyota is currently a Zacks Rank #2 (Buy). What’s more, this automotive giant also rocks an “A” grade for Value in our Style Scores system, helping it earn an overall “B” VGM score. Toyota’s value is demonstrated in part by its 1.09 price to book ratio, which comes in below the “Automotive – Foreign” industry’s average.

The Japanese automaker’s 0.72 price to sales ratio means investors pay only $0.72 for every $1 that Toyota brings in. The company is also currently trading at 10.40x earnings, which marks a discount compared to the S&P 500’s average and helps further express Toyota’s value. Lastly, Toyota offers investors a 2.86% dividend yield.

PBF Energy Inc. (PBF - Free Report)

This energy company is one of the largest independent petroleum refiners and suppliers of unbranded transportation fuels in the United States. PBF is a Zacks Rank #2 (Buy) and earns an “A” grade for Value in our Style Scores system—helping the company earn an overall “A” VGM score.

At the moment, investors pay only $0.18 for every dollar of revenue PBF generates. On top of that, the energy power’s P/B ratio of 1.37 currently marks a discount compared to the “Oil and Gas – Refining and Marketing” industry’s average. PBF is also currently trading at 19.81x earnings, which fairs well compared to its industry’s average P/ E. PBF Energy is currently offering investors a solid dividend yield of 3.59%.

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