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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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. 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.
APA (APA - Free Report) is a stock many investors are watching right now. APA is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 4.35. This compares to its industry's average Forward P/E of 6.94. Over the past 52 weeks, APA's Forward P/E has been as high as 43.67 and as low as 3.73, with a median of 6.13.
We also note that APA holds a PEG ratio of 0.16. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. APA's industry has an average PEG of 0.22 right now. APA's PEG has been as high as 2.24 and as low as 0.09, with a median of 0.34, all within 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 prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. APA has a P/S ratio of 1.92. This compares to its industry's average P/S of 2.71.
Finally, investors will want to recognize that APA has a P/CF ratio of 4.37. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. APA's current P/CF looks attractive when compared to its industry's average P/CF of 13.85. Over the past year, APA's P/CF has been as high as 6.44 and as low as 2.77, with a median of 4.74.
Investors could also keep in mind Centennial Resource Development , an Oil and Gas - Exploration and Production - United States stock with a Zacks Rank of # 1 (Strong Buy) and Value grade of A.
Additionally, Centennial Resource Development has a P/B ratio of 0.80 while its industry's price-to-book ratio sits at 4.18. For CDEV, this valuation metric has been as high as 0.97, as low as 0.45, with a median of 0.75 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that APA and Centennial Resource Development are likely undervalued currently. And when considering the strength of its earnings outlook, APA and CDEV sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing APA (APA) Right Now?
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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. 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.
APA (APA - Free Report) is a stock many investors are watching right now. APA is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 4.35. This compares to its industry's average Forward P/E of 6.94. Over the past 52 weeks, APA's Forward P/E has been as high as 43.67 and as low as 3.73, with a median of 6.13.
We also note that APA holds a PEG ratio of 0.16. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. APA's industry has an average PEG of 0.22 right now. APA's PEG has been as high as 2.24 and as low as 0.09, with a median of 0.34, all within 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 prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. APA has a P/S ratio of 1.92. This compares to its industry's average P/S of 2.71.
Finally, investors will want to recognize that APA has a P/CF ratio of 4.37. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. APA's current P/CF looks attractive when compared to its industry's average P/CF of 13.85. Over the past year, APA's P/CF has been as high as 6.44 and as low as 2.77, with a median of 4.74.
Investors could also keep in mind Centennial Resource Development , an Oil and Gas - Exploration and Production - United States stock with a Zacks Rank of # 1 (Strong Buy) and Value grade of A.
Additionally, Centennial Resource Development has a P/B ratio of 0.80 while its industry's price-to-book ratio sits at 4.18. For CDEV, this valuation metric has been as high as 0.97, as low as 0.45, with a median of 0.75 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that APA and Centennial Resource Development are likely undervalued currently. And when considering the strength of its earnings outlook, APA and CDEV sticks out as one of the market's strongest value stocks.