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Is Berry Global (BERY) Stock Undervalued Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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.
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 Berry Global (BERY - Free Report) . BERY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 9.71 right now. For comparison, its industry sports an average P/E of 15.41. Over the last 12 months, BERY's Forward P/E has been as high as 11.83 and as low as 6.19, with a median of 10.11.
Investors will also notice that BERY has a PEG ratio of 0.97. 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. BERY's industry has an average PEG of 1.25 right now. Within the past year, BERY's PEG has been as high as 1.15 and as low as 0.50, with a median of 0.91.
We should also highlight that BERY has a P/B ratio of 3.54. 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 solid versus its industry's average P/B of 6.79. BERY's P/B has been as high as 3.94 and as low as 2, with a median of 3.39, over the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. BERY has a P/S ratio of 0.57. This compares to its industry's average P/S of 1.01.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Berry Global is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BERY feels like a great value stock at the moment.
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Is Berry Global (BERY) Stock Undervalued Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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.
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 Berry Global (BERY - Free Report) . BERY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 9.71 right now. For comparison, its industry sports an average P/E of 15.41. Over the last 12 months, BERY's Forward P/E has been as high as 11.83 and as low as 6.19, with a median of 10.11.
Investors will also notice that BERY has a PEG ratio of 0.97. 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. BERY's industry has an average PEG of 1.25 right now. Within the past year, BERY's PEG has been as high as 1.15 and as low as 0.50, with a median of 0.91.
We should also highlight that BERY has a P/B ratio of 3.54. 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 solid versus its industry's average P/B of 6.79. BERY's P/B has been as high as 3.94 and as low as 2, with a median of 3.39, over the past year.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. BERY has a P/S ratio of 0.57. This compares to its industry's average P/S of 1.01.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Berry Global is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BERY feels like a great value stock at the moment.