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Are These Medical Stocks a Great Value Stocks Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. 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 Computer Programs and Systems . CPSI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
Investors should also recognize that CPSI has a P/B ratio of 1.91. 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 solid versus its industry's average P/B of 3.63. CPSI's P/B has been as high as 2.55 and as low as 1.86, with a median of 2.24, over the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. CPSI has a P/S ratio of 1.54. This compares to its industry's average P/S of 4.3.
Finally, our model also underscores that CPSI has a P/CF ratio of 12.76. 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. CPSI's current P/CF looks attractive when compared to its industry's average P/CF of 17.01. Over the past 52 weeks, CPSI's P/CF has been as high as 17.39 and as low as 12.46, with a median of 15.33.
If you're looking for another solid Medical Info Systems value stock, take a look at Fullgent Genetics (FLGT - Free Report) . FLGT is a # 1 (Strong Buy) stock with a Value score of A.
Fullgent Genetics also has a P/B ratio of 1.90 compared to its industry's price-to-book ratio of 3.63. Over the past year, its P/B ratio has been as high as 6.87, as low as 1.73, with a median of 2.75.
Value investors will likely look at more than just these metrics, but the above data helps show that Computer Programs and Systems and Fullgent Genetics are likely undervalued currently. And when considering the strength of its earnings outlook, CPSI and FLGT sticks out as one of the market's strongest value stocks.
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Are These Medical Stocks a Great Value Stocks Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. 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 Computer Programs and Systems . CPSI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
Investors should also recognize that CPSI has a P/B ratio of 1.91. 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 solid versus its industry's average P/B of 3.63. CPSI's P/B has been as high as 2.55 and as low as 1.86, with a median of 2.24, over the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. CPSI has a P/S ratio of 1.54. This compares to its industry's average P/S of 4.3.
Finally, our model also underscores that CPSI has a P/CF ratio of 12.76. 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. CPSI's current P/CF looks attractive when compared to its industry's average P/CF of 17.01. Over the past 52 weeks, CPSI's P/CF has been as high as 17.39 and as low as 12.46, with a median of 15.33.
If you're looking for another solid Medical Info Systems value stock, take a look at Fullgent Genetics (FLGT - Free Report) . FLGT is a # 1 (Strong Buy) stock with a Value score of A.
Fullgent Genetics also has a P/B ratio of 1.90 compared to its industry's price-to-book ratio of 3.63. Over the past year, its P/B ratio has been as high as 6.87, as low as 1.73, with a median of 2.75.
Value investors will likely look at more than just these metrics, but the above data helps show that Computer Programs and Systems and Fullgent Genetics are likely undervalued currently. And when considering the strength of its earnings outlook, CPSI and FLGT sticks out as one of the market's strongest value stocks.