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Are Investors Undervaluing WW International (WW) 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, value investing is easily one of the most popular ways to find great stocks in any market environment. 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.

One company to watch right now is WW International (WW - Free Report) . WW is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 16.98. This compares to its industry's average Forward P/E of 20.16. WW's Forward P/E has been as high as 22.05 and as low as 5.58, with a median of 15.07, all within the past year.

We also note that WW holds a PEG ratio of 1.13. 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. WW's industry has an average PEG of 1.72 right now. WW's PEG has been as high as 1.47 and as low as 0.24, with a median of 1.12, all within the past year.

These are just a handful of the figures considered in WW International'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 WW is an impressive value stock right now.


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