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 Atlas . ATCO is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 10.72, which compares to its industry's average of 13.19. Over the last 12 months, ATCO's Forward P/E has been as high as 12.69 and as low as 6.43, with a median of 8.27.
Investors should also note that ATCO holds a PEG ratio of 0.69. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ATCO's PEG compares to its industry's average PEG of 1.77. ATCO's PEG has been as high as 0.93 and as low as 0.41, with a median of 0.66, all within the past year.
Another notable valuation metric for ATCO is its P/B ratio of 0.96. 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 attractive against its industry's average P/B of 1.96. Over the past year, ATCO's P/B has been as high as 1 and as low as 0.43, with a median of 0.62.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. ATCO has a P/S ratio of 2.44. This compares to its industry's average P/S of 3.22.
Value investors will likely look at more than just these metrics, but the above data helps show that Atlas is likely undervalued currently. And when considering the strength of its earnings outlook, ATCO sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy Atlas (ATCO) Stock?
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 Atlas . ATCO is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 10.72, which compares to its industry's average of 13.19. Over the last 12 months, ATCO's Forward P/E has been as high as 12.69 and as low as 6.43, with a median of 8.27.
Investors should also note that ATCO holds a PEG ratio of 0.69. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ATCO's PEG compares to its industry's average PEG of 1.77. ATCO's PEG has been as high as 0.93 and as low as 0.41, with a median of 0.66, all within the past year.
Another notable valuation metric for ATCO is its P/B ratio of 0.96. 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 attractive against its industry's average P/B of 1.96. Over the past year, ATCO's P/B has been as high as 1 and as low as 0.43, with a median of 0.62.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. ATCO has a P/S ratio of 2.44. This compares to its industry's average P/S of 3.22.
Value investors will likely look at more than just these metrics, but the above data helps show that Atlas is likely undervalued currently. And when considering the strength of its earnings outlook, ATCO sticks out at as one of the market's strongest value stocks.