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.

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 use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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 Smith & Wesson (SWBI Quick QuoteSWBI - Free Report) . SWBI is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.

Another valuation metric that we should highlight is SWBI's P/B ratio of 3.90. 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 company's current P/B looks solid when compared to its industry's average P/B of 7.52. Over the past 12 months, SWBI's P/B has been as high as 5.55 and as low as 0.73, with a median of 2.76.

Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. SWBI has a P/S ratio of 0.87. This compares to its industry's average P/S of 2.

Value investors will likely look at more than just these metrics, but the above data helps show that Smith & Wesson is likely undervalued currently. And when considering the strength of its earnings outlook, SWBI sticks out at as one of the market's strongest value stocks.