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Is Taylor Morrison Home (TMHC) Stock Undervalued 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.
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.
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.
Taylor Morrison Home (TMHC - Free Report) is a stock many investors are watching right now. TMHC is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 6.54, which compares to its industry's average of 11.35. TMHC's Forward P/E has been as high as 10.25 and as low as 2.56, with a median of 6.98, all within the past year.
We should also highlight that TMHC has a P/B ratio of 1.14. The P/B ratio is used to compare a stock's market value with 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 1.27. Over the past 12 months, TMHC's P/B has been as high as 1.14 and as low as 0.31, with a median of 0.92.
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. TMHC has a P/S ratio of 0.67. This compares to its industry's average P/S of 1.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Taylor Morrison Home is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, TMHC feels like a great value stock at the moment.
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Is Taylor Morrison Home (TMHC) Stock Undervalued 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.
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.
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.
Taylor Morrison Home (TMHC - Free Report) is a stock many investors are watching right now. TMHC is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 6.54, which compares to its industry's average of 11.35. TMHC's Forward P/E has been as high as 10.25 and as low as 2.56, with a median of 6.98, all within the past year.
We should also highlight that TMHC has a P/B ratio of 1.14. The P/B ratio is used to compare a stock's market value with 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 1.27. Over the past 12 months, TMHC's P/B has been as high as 1.14 and as low as 0.31, with a median of 0.92.
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. TMHC has a P/S ratio of 0.67. This compares to its industry's average P/S of 1.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Taylor Morrison Home is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, TMHC feels like a great value stock at the moment.