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Is Seacor (CKH) Stock Undervalued Right Now?

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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.

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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.

Seacor (CKH - Free Report) is a stock many investors are watching right now. CKH is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.

Investors should also recognize that CKH has a P/B ratio of 1.04. 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. This stock's P/B looks solid versus its industry's average P/B of 1.21. Within the past 52 weeks, CKH's P/B has been as high as 1.40 and as low as 0.98, with a median of 1.18.

Finally, we should also recognize that CKH has a P/CF ratio of 4.23. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 14.20. Within the past 12 months, CKH's P/CF has been as high as 26.42 and as low as 4.01, with a median of 6.02.

These are only a few of the key metrics included in Seacor's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, CKH looks like an impressive value stock at the moment.




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