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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Textainer Group is a stock many investors are watching right now. TGH is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 9.72. This compares to its industry's average Forward P/E of 14.92. TGH's Forward P/E has been as high as 66.43 and as low as 9.53, with a median of 18.38, all within the past year.
Investors will also notice that TGH has a PEG ratio of 0.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. TGH's PEG compares to its industry's average PEG of 1.44. TGH's PEG has been as high as 5.54 and as low as 0.94, with a median of 2, all within the past year.
Another notable valuation metric for TGH is its P/B ratio of 0.69. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. TGH's current P/B looks attractive when compared to its industry's average P/B of 1.62. Over the past year, TGH's P/B has been as high as 1.24 and as low as 0.67, with a median of 0.82.
Finally, investors will want to recognize that TGH has a P/CF ratio of 2.91. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 5.59. Over the past 52 weeks, TGH's P/CF has been as high as 5.51 and as low as 2.82, with a median of 4.03.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Textainer Group is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, TGH feels like a great value stock at the moment.
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Should Value Investors Buy Textainer Group (TGH) Stock?
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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Textainer Group is a stock many investors are watching right now. TGH is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 9.72. This compares to its industry's average Forward P/E of 14.92. TGH's Forward P/E has been as high as 66.43 and as low as 9.53, with a median of 18.38, all within the past year.
Investors will also notice that TGH has a PEG ratio of 0.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. TGH's PEG compares to its industry's average PEG of 1.44. TGH's PEG has been as high as 5.54 and as low as 0.94, with a median of 2, all within the past year.
Another notable valuation metric for TGH is its P/B ratio of 0.69. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. TGH's current P/B looks attractive when compared to its industry's average P/B of 1.62. Over the past year, TGH's P/B has been as high as 1.24 and as low as 0.67, with a median of 0.82.
Finally, investors will want to recognize that TGH has a P/CF ratio of 2.91. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 5.59. Over the past 52 weeks, TGH's P/CF has been as high as 5.51 and as low as 2.82, with a median of 4.03.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Textainer Group is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, TGH feels like a great value stock at the moment.