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Are Investors Undervaluing Dick's Sporting Goods (DKS) 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.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Dick's Sporting Goods (DKS - Free Report) . DKS is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 13.26, which compares to its industry's average of 17.39. Over the past 52 weeks, DKS's Forward P/E has been as high as 26.79 and as low as 10.19, with a median of 14.04.
Investors should also recognize that DKS has a P/B ratio of 3.61. The P/B ratio pits a stock's market value against 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 5.10. Over the past 12 months, DKS's P/B has been as high as 3.61 and as low as 2.06, with a median of 2.76.
Finally, investors should note that DKS has a P/CF ratio of 8.07. 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 18.62. Within the past 12 months, DKS's P/CF has been as high as 9.98 and as low as 6.34, with a median of 8.08.
These are just a handful of the figures considered in Dick's Sporting Goods's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that DKS is an impressive value stock right now.
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Are Investors Undervaluing Dick's Sporting Goods (DKS) 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.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Dick's Sporting Goods (DKS - Free Report) . DKS is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 13.26, which compares to its industry's average of 17.39. Over the past 52 weeks, DKS's Forward P/E has been as high as 26.79 and as low as 10.19, with a median of 14.04.
Investors should also recognize that DKS has a P/B ratio of 3.61. The P/B ratio pits a stock's market value against 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 5.10. Over the past 12 months, DKS's P/B has been as high as 3.61 and as low as 2.06, with a median of 2.76.
Finally, investors should note that DKS has a P/CF ratio of 8.07. 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 18.62. Within the past 12 months, DKS's P/CF has been as high as 9.98 and as low as 6.34, with a median of 8.08.
These are just a handful of the figures considered in Dick's Sporting Goods's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that DKS is an impressive value stock right now.