Back to top

Are Investors Undervaluing AXA Equitable Holdings, Inc. (EQH) Right Now?

Read MoreHide Full Article

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.

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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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 stock to keep an eye on is AXA Equitable Holdings, Inc. (EQH - Free Report) . EQH is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 5.11, which compares to its industry's average of 10.26. EQH's Forward P/E has been as high as 6.05 and as low as 3.81, with a median of 5.30, all within the past year.

EQH is also sporting a PEG ratio of 0.65. 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. EQH's industry currently sports an average PEG of 1.20. Over the last 12 months, EQH's PEG has been as high as 0.72 and as low as 0.33, with a median of 0.45.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. EQH has a P/S ratio of 0.84. This compares to its industry's average P/S of 1.93.

These figures are just a handful of the metrics value investors tend to look at, but they help show that AXA Equitable Holdings, Inc. Is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, EQH feels like a great value stock at the moment.




In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


AXA Equitable Holdings, Inc. (EQH) - free report >>

More from Zacks Tale of the Tape

You May Like

Published in