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Is Cimpress (CMPR) a Great Value Stock 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, 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.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

One company to watch right now is Cimpress (CMPR - Free Report) . CMPR is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock holds a P/E ratio of 10.62, while its industry has an average P/E of 16.10. Over the last 12 months, CMPR's Forward P/E has been as high as 41.05 and as low as 10.32, with a median of 34.05.

We also note that CMPR holds a PEG ratio of 1.17. 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. CMPR's PEG compares to its industry's average PEG of 1.37. CMPR's PEG has been as high as 2.42 and as low as 1.08, with a median of 1.65, all within the past year.

Finally, investors should note that CMPR has a P/CF ratio of 5.02. 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. CMPR's current P/CF looks attractive when compared to its industry's average P/CF of 9.19. Over the past 52 weeks, CMPR's P/CF has been as high as 15.37 and as low as 4.89, with a median of 12.40.

Value investors will likely look at more than just these metrics, but the above data helps show that Cimpress is likely undervalued currently. And when considering the strength of its earnings outlook, CMPR sticks out at as one of the market's strongest value stocks.


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