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Is BRF (BRFS) a Great Value Stock Right Now?

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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

One stock to keep an eye on is BRF (BRFS - Free Report) . BRFS is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 6.87 right now. For comparison, its industry sports an average P/E of 18. Over the past 52 weeks, BRFS's Forward P/E has been as high as 34.42 and as low as -742.40, with a median of 14.58.

Investors should also recognize that BRFS has a P/B ratio of 0.90. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. BRFS's current P/B looks attractive when compared to its industry's average P/B of 2.15. Over the past year, BRFS's P/B has been as high as 2.82 and as low as 0.78, with a median of 1.99.

Finally, investors will want to recognize that BRFS has a P/CF ratio of 9.07. 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. BRFS's P/CF compares to its industry's average P/CF of 16.83. Over the past 52 weeks, BRFS's P/CF has been as high as 13.87 and as low as 3.92, with a median of 5.38.

Another great Food - Miscellaneous stock you could consider is Greencore Group (GNCGY - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.

Greencore Group also has a P/B ratio of 1.28 compared to its industry's price-to-book ratio of 2.15. Over the past year, its P/B ratio has been as high as 2.01, as low as 1.28, with a median of 1.54.

These are only a few of the key metrics included in BRF and Greencore Group strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, BRFS and GNCGY look like an impressive value stock at the moment.


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