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Are Investors Undervaluing ModivCare (MODV) Right Now?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 ModivCare (MODV - Free Report) . MODV is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 11.61, which compares to its industry's average of 14.01. Over the last 12 months, MODV's Forward P/E has been as high as 30.70 and as low as 11.28, with a median of 14.95.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. MODV has a P/S ratio of 0.56. This compares to its industry's average P/S of 1.65.
If you're looking for another solid Medical Services value stock, take a look at Premier (PINC - Free Report) . PINC is a # 2 (Buy) stock with a Value score of A.
Premier is currently trading with a Forward P/E ratio of 12.32 while its PEG ratio sits at 1.22. Both of the company's metrics compare favorably to its industry's average P/E of 14.01 and average PEG ratio of 1.19.
Over the last 12 months, PINC's P/E has been as high as 16.18, as low as 11.97, with a median of 13.93, and its PEG ratio has been as high as 2.99, as low as 1.18, with a median of 1.52.
Furthermore, Premier holds a P/B ratio of 1.77 and its industry's price-to-book ratio is 2.53. PINC's P/B has been as high as 2.17, as low as 1.71, with a median of 1.95 over the past 12 months.
These figures are just a handful of the metrics value investors tend to look at, but they help show that ModivCare and Premier are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, MODV and PINC feels like a great value stock at the moment.
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Are Investors Undervaluing ModivCare (MODV) Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 ModivCare (MODV - Free Report) . MODV is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 11.61, which compares to its industry's average of 14.01. Over the last 12 months, MODV's Forward P/E has been as high as 30.70 and as low as 11.28, with a median of 14.95.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. MODV has a P/S ratio of 0.56. This compares to its industry's average P/S of 1.65.
If you're looking for another solid Medical Services value stock, take a look at Premier (PINC - Free Report) . PINC is a # 2 (Buy) stock with a Value score of A.
Premier is currently trading with a Forward P/E ratio of 12.32 while its PEG ratio sits at 1.22. Both of the company's metrics compare favorably to its industry's average P/E of 14.01 and average PEG ratio of 1.19.
Over the last 12 months, PINC's P/E has been as high as 16.18, as low as 11.97, with a median of 13.93, and its PEG ratio has been as high as 2.99, as low as 1.18, with a median of 1.52.
Furthermore, Premier holds a P/B ratio of 1.77 and its industry's price-to-book ratio is 2.53. PINC's P/B has been as high as 2.17, as low as 1.71, with a median of 1.95 over the past 12 months.
These figures are just a handful of the metrics value investors tend to look at, but they help show that ModivCare and Premier are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, MODV and PINC feels like a great value stock at the moment.