Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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 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 company to watch right now is SilverBow Resources . SBOW is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock holds a P/E ratio of 2.99, while its industry has an average P/E of 8.13. Over the past 52 weeks, SBOW's Forward P/E has been as high as 4.45 and as low as 0.99, with a median of 1.50.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. SBOW has a P/S ratio of 0.89. This compares to its industry's average P/S of 2.24.
These are just a handful of the figures considered in SilverBow Resources'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 SBOW is an impressive value stock right now.
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Should Value Investors Buy SilverBow Resources (SBOW) Stock?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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 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 company to watch right now is SilverBow Resources . SBOW is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock holds a P/E ratio of 2.99, while its industry has an average P/E of 8.13. Over the past 52 weeks, SBOW's Forward P/E has been as high as 4.45 and as low as 0.99, with a median of 1.50.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. SBOW has a P/S ratio of 0.89. This compares to its industry's average P/S of 2.24.
These are just a handful of the figures considered in SilverBow Resources'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 SBOW is an impressive value stock right now.