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Are Investors Undervaluing These Oils-Energy Stocks 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.
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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 to watch right now is Repsol (REPYY - Free Report) . REPYY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 5.79, which compares to its industry's average of 9.12. Over the past year, REPYY's Forward P/E has been as high as 12.65 and as low as 4.83, with a median of 6.82.
We should also highlight that REPYY has a P/B ratio of 0.80. The P/B ratio is used to compare a stock's market value with 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 1.32. Over the past 12 months, REPYY's P/B has been as high as 0.87 and as low as 0.63, with a median of 0.75.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. REPYY has a P/S ratio of 0.39. This compares to its industry's average P/S of 0.76.
Finally, we should also recognize that REPYY has a P/CF ratio of 5.55. 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. REPYY's current P/CF looks attractive when compared to its industry's average P/CF of 8.57. Over the past 52 weeks, REPYY's P/CF has been as high as 459.90 and as low as -16.21, with a median of 5.55.
If you're looking for another solid Oil and Gas - Integrated - International value stock, take a look at Sasol (SSL - Free Report) . SSL is a # 2 (Buy) stock with a Value score of A.
Sasol is currently trading with a Forward P/E ratio of 5.84 while its PEG ratio sits at 0.41. Both of the company's metrics compare favorably to its industry's average P/E of 9.12 and average PEG ratio of 0.71.
SSL's price-to-earnings ratio has been as high as 12.41 and as low as 3.62, with a median of 4.80, while its PEG ratio has been as high as 0.96 and as low as 0.13, with a median of 0.30, all within the past year.
Sasol sports a P/B ratio of 1.39 as well; this compares to its industry's price-to-book ratio of 1.32. In the past 52 weeks, SSL's P/B has been as high as 1.50, as low as 0.77, with a median of 1.01.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Repsol and Sasol are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, REPYY and SSL feels like a great value stock at the moment.
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Are Investors Undervaluing These Oils-Energy Stocks Right Now?
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.
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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 to watch right now is Repsol (REPYY - Free Report) . REPYY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 5.79, which compares to its industry's average of 9.12. Over the past year, REPYY's Forward P/E has been as high as 12.65 and as low as 4.83, with a median of 6.82.
We should also highlight that REPYY has a P/B ratio of 0.80. The P/B ratio is used to compare a stock's market value with 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 1.32. Over the past 12 months, REPYY's P/B has been as high as 0.87 and as low as 0.63, with a median of 0.75.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. REPYY has a P/S ratio of 0.39. This compares to its industry's average P/S of 0.76.
Finally, we should also recognize that REPYY has a P/CF ratio of 5.55. 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. REPYY's current P/CF looks attractive when compared to its industry's average P/CF of 8.57. Over the past 52 weeks, REPYY's P/CF has been as high as 459.90 and as low as -16.21, with a median of 5.55.
If you're looking for another solid Oil and Gas - Integrated - International value stock, take a look at Sasol (SSL - Free Report) . SSL is a # 2 (Buy) stock with a Value score of A.
Sasol is currently trading with a Forward P/E ratio of 5.84 while its PEG ratio sits at 0.41. Both of the company's metrics compare favorably to its industry's average P/E of 9.12 and average PEG ratio of 0.71.
SSL's price-to-earnings ratio has been as high as 12.41 and as low as 3.62, with a median of 4.80, while its PEG ratio has been as high as 0.96 and as low as 0.13, with a median of 0.30, all within the past year.
Sasol sports a P/B ratio of 1.39 as well; this compares to its industry's price-to-book ratio of 1.32. In the past 52 weeks, SSL's P/B has been as high as 1.50, as low as 0.77, with a median of 1.01.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Repsol and Sasol are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, REPYY and SSL feels like a great value stock at the moment.