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Is UFP Industries (UFPI) Stock Undervalued 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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 stock to keep an eye on is UFP Industries (UFPI - Free Report) . UFPI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 10.16, while its industry has an average P/E of 14.45. Over the past 52 weeks, UFPI's Forward P/E has been as high as 13.44 and as low as 7, with a median of 10.50.
Investors should also recognize that UFPI has a P/B ratio of 2.36. 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 company's current P/B looks solid when compared to its industry's average P/B of 3.26. Over the past 12 months, UFPI's P/B has been as high as 3.08 and as low as 1.84, with a median of 2.49.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by 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. UFPI has a P/S ratio of 0.57. This compares to its industry's average P/S of 1.53.
Finally, investors should note that UFPI has a P/CF ratio of 7.28. 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 10.21. Over the past year, UFPI's P/CF has been as high as 10.57 and as low as 5.66, with a median of 8.34.
These are only a few of the key metrics included in UFP Industries's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, UFPI looks like an impressive value stock at the moment.
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Is UFP Industries (UFPI) Stock Undervalued Right Now?
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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 stock to keep an eye on is UFP Industries (UFPI - Free Report) . UFPI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 10.16, while its industry has an average P/E of 14.45. Over the past 52 weeks, UFPI's Forward P/E has been as high as 13.44 and as low as 7, with a median of 10.50.
Investors should also recognize that UFPI has a P/B ratio of 2.36. 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 company's current P/B looks solid when compared to its industry's average P/B of 3.26. Over the past 12 months, UFPI's P/B has been as high as 3.08 and as low as 1.84, with a median of 2.49.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by 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. UFPI has a P/S ratio of 0.57. This compares to its industry's average P/S of 1.53.
Finally, investors should note that UFPI has a P/CF ratio of 7.28. 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 10.21. Over the past year, UFPI's P/CF has been as high as 10.57 and as low as 5.66, with a median of 8.34.
These are only a few of the key metrics included in UFP Industries's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, UFPI looks like an impressive value stock at the moment.