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Are Investors Undervaluing Delta Air Lines (DAL) 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Delta Air Lines (DAL - Free Report) . DAL is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.54, which compares to its industry's average of 9.22. Over the past 52 weeks, DAL's Forward P/E has been as high as 9.85 and as low as 7.16, with a median of 8.41.
Finally, investors will want to recognize that DAL has a P/CF ratio of 6.15. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. DAL's P/CF compares to its industry's average P/CF of 6.45. DAL's P/CF has been as high as 7.88 and as low as 4.97, with a median of 6.07, all within the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Delta Air Lines is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, DAL feels like a great value stock at the moment.
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Are Investors Undervaluing Delta Air Lines (DAL) 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, 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Delta Air Lines (DAL - Free Report) . DAL is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.54, which compares to its industry's average of 9.22. Over the past 52 weeks, DAL's Forward P/E has been as high as 9.85 and as low as 7.16, with a median of 8.41.
Finally, investors will want to recognize that DAL has a P/CF ratio of 6.15. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. DAL's P/CF compares to its industry's average P/CF of 6.45. DAL's P/CF has been as high as 7.88 and as low as 4.97, with a median of 6.07, all within the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Delta Air Lines is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, DAL feels like a great value stock at the moment.