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, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company value investors might notice is Meritor . MTOR is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock is trading with a P/E ratio of 6, which compares to its industry's average of 10.13. MTOR's Forward P/E has been as high as 7.71 and as low as 4.75, with a median of 6.45, all within the past year.
Finally, investors will want to recognize that MTOR has a P/CF ratio of 5.04. 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. MTOR's current P/CF looks attractive when compared to its industry's average P/CF of 5.70. Over the past 52 weeks, MTOR's P/CF has been as high as 8.91 and as low as 4.21, with a median of 5.40.
These are just a handful of the figures considered in Meritor's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that MTOR is an impressive value stock right now.
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Is Meritor (MTOR) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company value investors might notice is Meritor . MTOR is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock is trading with a P/E ratio of 6, which compares to its industry's average of 10.13. MTOR's Forward P/E has been as high as 7.71 and as low as 4.75, with a median of 6.45, all within the past year.
Finally, investors will want to recognize that MTOR has a P/CF ratio of 5.04. 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. MTOR's current P/CF looks attractive when compared to its industry's average P/CF of 5.70. Over the past 52 weeks, MTOR's P/CF has been as high as 8.91 and as low as 4.21, with a median of 5.40.
These are just a handful of the figures considered in Meritor's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that MTOR is an impressive value stock right now.