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Is Ryder System (R) a Great Value Stock Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 value investors might notice is Ryder System (R - Free Report) . R is currently holding a Zacks Rank #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 12.74. This compares to its industry's average Forward P/E of 15.24. Over the past 52 weeks, R's Forward P/E has been as high as 13.18 and as low as 9.22, with a median of 11.32.
We should also highlight that R has a P/B ratio of 2.44. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. R's current P/B looks attractive when compared to its industry's average P/B of 2.71. Within the past 52 weeks, R's P/B has been as high as 2.52 and as low as 1.79, with a median of 2.16.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. R has a P/S ratio of 0.82. This compares to its industry's average P/S of 1.12.
Finally, we should also recognize that R has a P/CF ratio of 3.25. 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 stock's P/CF looks attractive against its industry's average P/CF of 6.63. R's P/CF has been as high as 3.35 and as low as 2.37, with a median of 2.93, all within the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Ryder System is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, R feels like a great value stock at the moment.
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Is Ryder System (R) a Great Value Stock Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 value investors might notice is Ryder System (R - Free Report) . R is currently holding a Zacks Rank #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 12.74. This compares to its industry's average Forward P/E of 15.24. Over the past 52 weeks, R's Forward P/E has been as high as 13.18 and as low as 9.22, with a median of 11.32.
We should also highlight that R has a P/B ratio of 2.44. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. R's current P/B looks attractive when compared to its industry's average P/B of 2.71. Within the past 52 weeks, R's P/B has been as high as 2.52 and as low as 1.79, with a median of 2.16.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. R has a P/S ratio of 0.82. This compares to its industry's average P/S of 1.12.
Finally, we should also recognize that R has a P/CF ratio of 3.25. 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 stock's P/CF looks attractive against its industry's average P/CF of 6.63. R's P/CF has been as high as 3.35 and as low as 2.37, with a median of 2.93, all within the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Ryder System is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, R feels like a great value stock at the moment.