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Is Buckle (BKE) Stock Undervalued Right Now?

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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

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.

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 Buckle (BKE - Free Report) . BKE 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 9.32, which compares to its industry's average of 17.02. BKE's Forward P/E has been as high as 17.83 and as low as 9.32, with a median of 13.08, all within the past year.

We should also highlight that BKE has a P/B ratio of 4.01. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. BKE's current P/B looks attractive when compared to its industry's average P/B of 6.48. Over the past 12 months, BKE's P/B has been as high as 5.67 and as low as 2.23, with a median of 4.49.

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


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