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Should Value Investors Buy INTERNATIONAL MONEY EXPRESS, INC. (IMXI) Stock?

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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.

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.

Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.

One company to watch right now is INTERNATIONAL MONEY EXPRESS, INC. (IMXI - Free Report) . IMXI is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value.

Investors will also notice that IMXI has a PEG ratio of 0.79. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. IMXI's PEG compares to its industry's average PEG of 2.06. Over the past 52 weeks, IMXI's PEG has been as high as 0.88 and as low as 0.79, with a median of 0.85.

Another valuation metric that we should highlight is IMXI's P/B ratio of 7.71. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. IMXI's current P/B looks attractive when compared to its industry's average P/B of 7.82. IMXI's P/B has been as high as 12.38 and as low as 7.22, with a median of 10.21, over the past year.

Finally, we should also recognize that IMXI has a P/CF ratio of 11.84. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. IMXI's current P/CF looks attractive when compared to its industry's average P/CF of 25.14. Within the past 12 months, IMXI's P/CF has been as high as 51.77 and as low as 11.08, with a median of 21.99.

These are just a handful of the figures considered in INTERNATIONAL MONEY EXPRESS, INC.'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 IMXI is an impressive value stock right now.


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