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Is Mobile TeleSystems (MBT) Stock Undervalued 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.

Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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.

One stock to keep an eye on is Mobile TeleSystems . MBT is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 9.02. This compares to its industry's average Forward P/E of 12.43. Over the last 12 months, MBT's Forward P/E has been as high as 9.61 and as low as 6.82, with a median of 8.21.

Finally, our model also underscores that MBT has a P/CF ratio of 3.58. 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. This stock's P/CF looks attractive against its industry's average P/CF of 6.77. Over the past year, MBT's P/CF has been as high as 5.14 and as low as 2.69, with a median of 4.20.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Mobile TeleSystems is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, MBT feels like a great value stock at the moment.

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