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.
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 to watch right now is Ethan Allen . ETH is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 13.09, while its industry has an average P/E of 16.69. Over the past year, ETH's Forward P/E has been as high as 18.61 and as low as 10.94, with a median of 13.06.
Investors should also note that ETH holds a PEG ratio of 0.87. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. ETH's PEG compares to its industry's average PEG of 1.16. Within the past year, ETH's PEG has been as high as 1.54 and as low as 0.81, with a median of 1.12.
We should also highlight that ETH has a P/B ratio of 1.59. 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. This stock's P/B looks solid versus its industry's average P/B of 3.92. Over the past 12 months, ETH's P/B has been as high as 1.75 and as low as 1.19, with a median of 1.42.
Finally, investors should note that ETH has a P/CF ratio of 9.92. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 11.39. Within the past 12 months, ETH's P/CF has been as high as 12.32 and as low as 8.18, with a median of 9.67.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Ethan Allen is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ETH feels like a great value stock at the moment.
Image: Bigstock
Is Ethan Allen (ETH) a Great Value Stock Right Now?
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.
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 to watch right now is Ethan Allen . ETH is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 13.09, while its industry has an average P/E of 16.69. Over the past year, ETH's Forward P/E has been as high as 18.61 and as low as 10.94, with a median of 13.06.
Investors should also note that ETH holds a PEG ratio of 0.87. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. ETH's PEG compares to its industry's average PEG of 1.16. Within the past year, ETH's PEG has been as high as 1.54 and as low as 0.81, with a median of 1.12.
We should also highlight that ETH has a P/B ratio of 1.59. 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. This stock's P/B looks solid versus its industry's average P/B of 3.92. Over the past 12 months, ETH's P/B has been as high as 1.75 and as low as 1.19, with a median of 1.42.
Finally, investors should note that ETH has a P/CF ratio of 9.92. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 11.39. Within the past 12 months, ETH's P/CF has been as high as 12.32 and as low as 8.18, with a median of 9.67.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Ethan Allen is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ETH feels like a great value stock at the moment.