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Should Value Investors Buy LG Display (LPL) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
LG Display (LPL - Free Report) is a stock many investors are watching right now. LPL is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Another valuation metric that we should highlight is LPL's P/B ratio of 0.67. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. LPL's current P/B looks attractive when compared to its industry's average P/B of 1.29. Over the past year, LPL's P/B has been as high as 0.67 and as low as 0.27, with a median of 0.45.
Finally, we should also recognize that LPL has a P/CF ratio of 4.90. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 12.07. Over the past year, LPL's P/CF has been as high as 27.36 and as low as 3.35, with a median of 5.19.
Value investors will likely look at more than just these metrics, but the above data helps show that LG Display is likely undervalued currently. And when considering the strength of its earnings outlook, LPL sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy LG Display (LPL) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
LG Display (LPL - Free Report) is a stock many investors are watching right now. LPL is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Another valuation metric that we should highlight is LPL's P/B ratio of 0.67. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. LPL's current P/B looks attractive when compared to its industry's average P/B of 1.29. Over the past year, LPL's P/B has been as high as 0.67 and as low as 0.27, with a median of 0.45.
Finally, we should also recognize that LPL has a P/CF ratio of 4.90. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 12.07. Over the past year, LPL's P/CF has been as high as 27.36 and as low as 3.35, with a median of 5.19.
Value investors will likely look at more than just these metrics, but the above data helps show that LG Display is likely undervalued currently. And when considering the strength of its earnings outlook, LPL sticks out at as one of the market's strongest value stocks.