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Are Investors Undervaluing Brighthouse Financial (BHF) Right Now?
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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 value investors might notice is Brighthouse Financial (BHF - Free Report) . BHF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
BHF is also sporting a PEG ratio of 0.39. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. BHF's PEG compares to its industry's average PEG of 0.90. Within the past year, BHF's PEG has been as high as 0.74 and as low as 0.30, with a median of 0.37.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. BHF has a P/S ratio of 0.32. This compares to its industry's average P/S of 0.56.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Brighthouse Financial is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BHF feels like a great value stock at the moment.
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Are Investors Undervaluing Brighthouse Financial (BHF) Right Now?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 value investors might notice is Brighthouse Financial (BHF - Free Report) . BHF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
BHF is also sporting a PEG ratio of 0.39. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. BHF's PEG compares to its industry's average PEG of 0.90. Within the past year, BHF's PEG has been as high as 0.74 and as low as 0.30, with a median of 0.37.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. BHF has a P/S ratio of 0.32. This compares to its industry's average P/S of 0.56.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Brighthouse Financial is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BHF feels like a great value stock at the moment.