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Is Geopark (GPRK) a Great Value Stock 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.

One stock to keep an eye on is Geopark (GPRK - Free Report) . GPRK is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock holds a P/E ratio of 2.62, while its industry has an average P/E of 5.17. Over the past year, GPRK's Forward P/E has been as high as 12.53 and as low as 2.07, with a median of 3.37.

Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. GPRK has a P/S ratio of 0.94. This compares to its industry's average P/S of 2.18.

Finally, investors should note that GPRK has a P/CF ratio of 4.04. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 10.68. Within the past 12 months, GPRK's P/CF has been as high as 1,745.03 and as low as -21.27, with a median of 5.32.

If you're looking for another solid Oil and Gas - Exploration and Production - United States value stock, take a look at Murphy Oil (MUR - Free Report) . MUR is a # 2 (Buy) stock with a Value score of A.

Murphy Oil also has a P/B ratio of 1.12 compared to its industry's price-to-book ratio of 3.23. Over the past year, its P/B ratio has been as high as 1.67, as low as 0.73, with a median of 1.09.

These are just a handful of the figures considered in Geopark and Murphy Oil's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that GPRK and MUR is an impressive value stock right now.


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