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Are Investors Undervaluing Chemours (CC) 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.

Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of 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.

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.

One company value investors might notice is Chemours (CC - Free Report) . CC 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 8.77, which compares to its industry's average of 12.51. Over the last 12 months, CC's Forward P/E has been as high as 12.18 and as low as 8.45, with a median of 10.36.

We also note that CC holds a PEG ratio of 0.29. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. CC's PEG compares to its industry's average PEG of 0.57. CC's PEG has been as high as 0.45 and as low as 0.29, with a median of 0.38, all within the past year.

Finally, our model also underscores that CC has a P/CF ratio of 9.80. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 11.09. Over the past year, CC's P/CF has been as high as 22.03 and as low as 7.22, with a median of 10.45.

These are only a few of the key metrics included in Chemours'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, CC looks like an impressive value stock at the moment.


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