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Are Investors Undervaluing Boise Cascade (BCC) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 stock to keep an eye on is Boise Cascade (BCC - Free Report) . BCC is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 6.32, while its industry has an average P/E of 15.50. Over the past year, BCC's Forward P/E has been as high as 23.67 and as low as 6.28, with a median of 13.79.
Investors will also notice that BCC has a PEG ratio of 0.62. 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. BCC's industry has an average PEG of 0.70 right now. Within the past year, BCC's PEG has been as high as 5.01 and as low as 0.61, with a median of 1.38.
Another valuation metric that we should highlight is BCC's P/B ratio of 2.61. 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 stock's P/B looks attractive against its industry's average P/B of 4.15. Within the past 52 weeks, BCC's P/B has been as high as 2.98 and as low as 1.78, with a median of 2.32.
Finally, our model also underscores that BCC has a P/CF ratio of 6.65. 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 20.37. BCC's P/CF has been as high as 10.20 and as low as 5.64, with a median of 7.35, all within the past year.
These are only a few of the key metrics included in Boise Cascade's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, BCC looks like an impressive value stock at the moment.
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Are Investors Undervaluing Boise Cascade (BCC) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 stock to keep an eye on is Boise Cascade (BCC - Free Report) . BCC is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 6.32, while its industry has an average P/E of 15.50. Over the past year, BCC's Forward P/E has been as high as 23.67 and as low as 6.28, with a median of 13.79.
Investors will also notice that BCC has a PEG ratio of 0.62. 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. BCC's industry has an average PEG of 0.70 right now. Within the past year, BCC's PEG has been as high as 5.01 and as low as 0.61, with a median of 1.38.
Another valuation metric that we should highlight is BCC's P/B ratio of 2.61. 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 stock's P/B looks attractive against its industry's average P/B of 4.15. Within the past 52 weeks, BCC's P/B has been as high as 2.98 and as low as 1.78, with a median of 2.32.
Finally, our model also underscores that BCC has a P/CF ratio of 6.65. 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 20.37. BCC's P/CF has been as high as 10.20 and as low as 5.64, with a median of 7.35, all within the past year.
These are only a few of the key metrics included in Boise Cascade's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, BCC looks like an impressive value stock at the moment.