We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
Evertec (EVTC - Free Report) is a stock many investors are watching right now. EVTC 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 9.42 right now. For comparison, its industry sports an average P/E of 16.03. Over the last 12 months, EVTC's Forward P/E has been as high as 11.49 and as low as 9.26, with a median of 10.35.
Another valuation metric that we should highlight is EVTC's P/B ratio of 3.5. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. EVTC's current P/B looks attractive when compared to its industry's average P/B of 6.45. Over the past year, EVTC's P/B has been as high as 5.07 and as low as 3.41, with a median of 4.27.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. EVTC has a P/S ratio of 1.85. This compares to its industry's average P/S of 1.88.
Finally, our model also underscores that EVTC has a P/CF ratio of 8.19. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 12.39. Within the past 12 months, EVTC's P/CF has been as high as 11.11 and as low as 7.89, with a median of 8.96.
WEX (WEX - Free Report) may be another strong Financial Transaction Services stock to add to your shortlist. WEX is a Zacks Rank of #2 (Buy) stock with a Value grade of A.
WEX is currently trading with a Forward P/E ratio of 9.68 while its PEG ratio sits at 1.22. Both of the company's metrics compare favorably to its industry's average P/E of 16.03 and average PEG ratio of 0.98.
WEX's Forward P/E has been as high as 12.19 and as low as 7.27, with a median of 10.12. During the same time period, its PEG ratio has been as high as 2.61, as low as 0.78, with a median of 1.29.
WEX also has a P/B ratio of 5.72 compared to its industry's price-to-book ratio of 6.45. Over the past year, its P/B ratio has been as high as 6.84, as low as 3.96, with a median of 5.05.
These are only a few of the key metrics included in Evertec and WEX strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, EVTC and WEX look like an impressive value stock at the moment.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
Is Evertec (EVTC) Stock Undervalued Right Now?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
Evertec (EVTC - Free Report) is a stock many investors are watching right now. EVTC 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 9.42 right now. For comparison, its industry sports an average P/E of 16.03. Over the last 12 months, EVTC's Forward P/E has been as high as 11.49 and as low as 9.26, with a median of 10.35.
Another valuation metric that we should highlight is EVTC's P/B ratio of 3.5. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. EVTC's current P/B looks attractive when compared to its industry's average P/B of 6.45. Over the past year, EVTC's P/B has been as high as 5.07 and as low as 3.41, with a median of 4.27.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. EVTC has a P/S ratio of 1.85. This compares to its industry's average P/S of 1.88.
Finally, our model also underscores that EVTC has a P/CF ratio of 8.19. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 12.39. Within the past 12 months, EVTC's P/CF has been as high as 11.11 and as low as 7.89, with a median of 8.96.
WEX (WEX - Free Report) may be another strong Financial Transaction Services stock to add to your shortlist. WEX is a Zacks Rank of #2 (Buy) stock with a Value grade of A.
WEX is currently trading with a Forward P/E ratio of 9.68 while its PEG ratio sits at 1.22. Both of the company's metrics compare favorably to its industry's average P/E of 16.03 and average PEG ratio of 0.98.
WEX's Forward P/E has been as high as 12.19 and as low as 7.27, with a median of 10.12. During the same time period, its PEG ratio has been as high as 2.61, as low as 0.78, with a median of 1.29.
WEX also has a P/B ratio of 5.72 compared to its industry's price-to-book ratio of 6.45. Over the past year, its P/B ratio has been as high as 6.84, as low as 3.96, with a median of 5.05.
These are only a few of the key metrics included in Evertec and WEX strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, EVTC and WEX look like an impressive value stock at the moment.