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Is Foot Locker (FL) a Great Value Stock Right Now?
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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.
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.
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 Foot Locker (FL - Free Report) . FL is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 11.49, which compares to its industry's average of 15.04. Over the past year, FL's Forward P/E has been as high as 12.72 and as low as 9.07, with a median of 10.71.
We should also highlight that FL has a P/B ratio of 2.60. 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. FL's current P/B looks attractive when compared to its industry's average P/B of 4.01. Over the past 12 months, FL's P/B has been as high as 2.81 and as low as 1.93, with a median of 2.30.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Foot Locker is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, FL feels like a great value stock at the moment.
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Is Foot Locker (FL) a Great Value Stock 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.
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.
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 Foot Locker (FL - Free Report) . FL is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 11.49, which compares to its industry's average of 15.04. Over the past year, FL's Forward P/E has been as high as 12.72 and as low as 9.07, with a median of 10.71.
We should also highlight that FL has a P/B ratio of 2.60. 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. FL's current P/B looks attractive when compared to its industry's average P/B of 4.01. Over the past 12 months, FL's P/B has been as high as 2.81 and as low as 1.93, with a median of 2.30.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Foot Locker is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, FL feels like a great value stock at the moment.