Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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.
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 to watch right now is Screen Holdings Co., Ltd (DINRF - Free Report) . DINRF is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 10.43 right now. For comparison, its industry sports an average P/E of 17.19. Over the past 52 weeks, DINRF's Forward P/E has been as high as 23.07 and as low as 9.72, with a median of 13.09.
DINRF is also sporting a PEG ratio of 1.04. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. DINRF's PEG compares to its industry's average PEG of 2.23. Within the past year, DINRF's PEG has been as high as 2.31 and as low as 0.97, with a median of 1.31.
These are just a handful of the figures considered in Screen Holdings Co., Ltd'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 DINRF is an impressive value stock right now.