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Is Tri Pointe Homes (TPH) a Great Value Stock Right Now?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
Tri Pointe Homes (TPH - Free Report) is a stock many investors are watching right now. TPH is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 10.37. This compares to its industry's average Forward P/E of 11.07. TPH's Forward P/E has been as high as 12.90 and as low as 3.84, with a median of 10.39, all within the past year.
We also note that TPH holds a PEG ratio of 0.86. 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. TPH's PEG compares to its industry's average PEG of 2.20. Over the last 12 months, TPH's PEG has been as high as 1.14 and as low as 0.35, with a median of 0.93.
Another valuation metric that we should highlight is TPH's P/B ratio of 1.09. The P/B is a method of comparing a stock's market value to 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 1.27. Over the past year, TPH's P/B has been as high as 1.17 and as low as 0.39, with a median of 1.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. TPH has a P/S ratio of 0.72. This compares to its industry's average P/S of 0.81.
Finally, investors will want to recognize that TPH has a P/CF ratio of 7.58. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 8.76. Within the past 12 months, TPH's P/CF has been as high as 10.23 and as low as 3.41, with a median of 8.55.
These are just a handful of the figures considered in Tri Pointe Homes'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 TPH is an impressive value stock right now.
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Is Tri Pointe Homes (TPH) a Great Value Stock Right Now?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
Tri Pointe Homes (TPH - Free Report) is a stock many investors are watching right now. TPH is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 10.37. This compares to its industry's average Forward P/E of 11.07. TPH's Forward P/E has been as high as 12.90 and as low as 3.84, with a median of 10.39, all within the past year.
We also note that TPH holds a PEG ratio of 0.86. 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. TPH's PEG compares to its industry's average PEG of 2.20. Over the last 12 months, TPH's PEG has been as high as 1.14 and as low as 0.35, with a median of 0.93.
Another valuation metric that we should highlight is TPH's P/B ratio of 1.09. The P/B is a method of comparing a stock's market value to 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 1.27. Over the past year, TPH's P/B has been as high as 1.17 and as low as 0.39, with a median of 1.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. TPH has a P/S ratio of 0.72. This compares to its industry's average P/S of 0.81.
Finally, investors will want to recognize that TPH has a P/CF ratio of 7.58. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 8.76. Within the past 12 months, TPH's P/CF has been as high as 10.23 and as low as 3.41, with a median of 8.55.
These are just a handful of the figures considered in Tri Pointe Homes'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 TPH is an impressive value stock right now.