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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Vontier (VNT - Free Report) . VNT is currently sporting a Zacks Rank #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 12.63 right now. For comparison, its industry sports an average P/E of 23.54. VNT's Forward P/E has been as high as 12.96 and as low as 8.65, with a median of 11.59, all within the past year.
We also note that VNT holds a PEG ratio of 1.32. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. VNT's PEG compares to its industry's average PEG of 1.37. Within the past year, VNT's PEG has been as high as 1.78 and as low as 0.86, with a median of 1.31.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's 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. VNT has a P/S ratio of 1.75. This compares to its industry's average P/S of 1.99.
Finally, we should also recognize that VNT has a P/CF ratio of 12.23. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 23.69. VNT's P/CF has been as high as 12.36 and as low as 8.36, with a median of 10.65, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Vontier is likely undervalued currently. And when considering the strength of its earnings outlook, VNT sticks out as one of the market's strongest value stocks.
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Is Vontier (VNT) Stock Undervalued Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Vontier (VNT - Free Report) . VNT is currently sporting a Zacks Rank #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 12.63 right now. For comparison, its industry sports an average P/E of 23.54. VNT's Forward P/E has been as high as 12.96 and as low as 8.65, with a median of 11.59, all within the past year.
We also note that VNT holds a PEG ratio of 1.32. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. VNT's PEG compares to its industry's average PEG of 1.37. Within the past year, VNT's PEG has been as high as 1.78 and as low as 0.86, with a median of 1.31.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's 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. VNT has a P/S ratio of 1.75. This compares to its industry's average P/S of 1.99.
Finally, we should also recognize that VNT has a P/CF ratio of 12.23. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 23.69. VNT's P/CF has been as high as 12.36 and as low as 8.36, with a median of 10.65, all within the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Vontier is likely undervalued currently. And when considering the strength of its earnings outlook, VNT sticks out as one of the market's strongest value stocks.