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Should Value Investors Buy Costamare (CMRE) Stock?
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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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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.
Costamare (CMRE - Free Report) is a stock many investors are watching right now. CMRE is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A.
We also note that CMRE holds a PEG ratio of 1.53. 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. CMRE's PEG compares to its industry's average PEG of 2.65. Over the past 52 weeks, CMRE's PEG has been as high as 1.67 and as low as 1.38, with a median of 1.55.
Investors should also recognize that CMRE has a P/B ratio of 0.42. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 0.86. Over the past 12 months, CMRE's P/B has been as high as 0.90 and as low as 0.30, with a median of 0.50.
Finally, we should also recognize that CMRE has a P/CF ratio of 2.30. 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. CMRE's current P/CF looks attractive when compared to its industry's average P/CF of 7.95. Over the past 52 weeks, CMRE's P/CF has been as high as 5.65 and as low as 1.85, with a median of 3.63.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Costamare is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CMRE feels like a great value stock at the moment.
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Should Value Investors Buy Costamare (CMRE) Stock?
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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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.
Costamare (CMRE - Free Report) is a stock many investors are watching right now. CMRE is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A.
We also note that CMRE holds a PEG ratio of 1.53. 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. CMRE's PEG compares to its industry's average PEG of 2.65. Over the past 52 weeks, CMRE's PEG has been as high as 1.67 and as low as 1.38, with a median of 1.55.
Investors should also recognize that CMRE has a P/B ratio of 0.42. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 0.86. Over the past 12 months, CMRE's P/B has been as high as 0.90 and as low as 0.30, with a median of 0.50.
Finally, we should also recognize that CMRE has a P/CF ratio of 2.30. 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. CMRE's current P/CF looks attractive when compared to its industry's average P/CF of 7.95. Over the past 52 weeks, CMRE's P/CF has been as high as 5.65 and as low as 1.85, with a median of 3.63.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Costamare is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CMRE feels like a great value stock at the moment.