Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
Loma Negra Compania Industrial Argentina S.A. Sponsored ADR (LOMA - Free Report) is a stock many investors are watching right now. LOMA is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 5.38, which compares to its industry's average of 10.10. Over the past year, LOMA's Forward P/E has been as high as 20.98 and as low as 5.11, with a median of 12.31.
Finally, investors should note that LOMA has a P/CF ratio of 3.94. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 8.98. Over the past 52 weeks, LOMA's P/CF has been as high as 15.42 and as low as 3.74, with a median of 9.09.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Loma Negra Compania Industrial Argentina S.A. Sponsored ADR is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, LOMA feels like a great value stock at the moment.