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Is JetBlue Airways (JBLU) a Great Value Stock Right Now?

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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.

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.

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 JetBlue Airways (JBLU - Free Report) . JBLU is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 7.78 right now. For comparison, its industry sports an average P/E of 8.16. Over the last 12 months, JBLU's Forward P/E has been as high as 11.94 and as low as 7.57, with a median of 9.06.

Investors should also note that JBLU holds a PEG ratio of 0.34. 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. JBLU's PEG compares to its industry's average PEG of 0.43. JBLU's PEG has been as high as 5.81 and as low as 0.34, with a median of 1.16, all within the past year.

Investors should also recognize that JBLU has a P/B ratio of 1.13. 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. JBLU's current P/B looks attractive when compared to its industry's average P/B of 2.35. Within the past 52 weeks, JBLU's P/B has been as high as 1.39 and as low as 1.04, with a median of 1.19.

These are just a handful of the figures considered in JetBlue Airways'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 JBLU is an impressive value stock right now.


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