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Is Criteo S.A. (CRTO) a Great Value Stock Right Now?

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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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

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.

Criteo S.A. (CRTO - Free Report) is a stock many investors are watching right now. CRTO is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.

Investors will also notice that CRTO has a PEG ratio of 1.42. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CRTO's PEG compares to its industry's average PEG of 2.39. CRTO's PEG has been as high as 2.41 and as low as 1.33, with a median of 1.71, all within the past year.

Finally, investors will want to recognize that CRTO has a P/CF ratio of 6.45. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. CRTO's current P/CF looks attractive when compared to its industry's average P/CF of 25.75. Within the past 12 months, CRTO's P/CF has been as high as 9.45 and as low as 5.67, with a median of 6.97.

Value investors will likely look at more than just these metrics, but the above data helps show that Criteo S.A. Is likely undervalued currently. And when considering the strength of its earnings outlook, CRTO sticks out at as one of the market's strongest value stocks.


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