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Should Value Investors Buy SilverBow Resources (SBOW) Stock?
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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, 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 company to watch right now is SilverBow Resources (SBOW - Free Report) . SBOW is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. SBOW has a P/S ratio of 0.99. This compares to its industry's average P/S of 2.04.
Finally, investors will want to recognize that SBOW has a P/CF ratio of 2.88. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. SBOW's current P/CF looks attractive when compared to its industry's average P/CF of 8.43. Over the past 52 weeks, SBOW's P/CF has been as high as 11.15 and as low as 2.09, with a median of 4.10.
Investors could also keep in mind Stone Energy (TALO - Free Report) , an Oil and Gas - Exploration and Production - United States stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Stone Energy sports a P/B ratio of 1.83 as well; this compares to its industry's price-to-book ratio of 3.54. In the past 52 weeks, TALO's P/B has been as high as 2.99, as low as 1.05, with a median of 1.67.
These are only a few of the key metrics included in SilverBow Resources and Stone Energy strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, SBOW and TALO look like an impressive value stock at the moment.
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Should Value Investors Buy SilverBow Resources (SBOW) Stock?
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, 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 company to watch right now is SilverBow Resources (SBOW - Free Report) . SBOW is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. SBOW has a P/S ratio of 0.99. This compares to its industry's average P/S of 2.04.
Finally, investors will want to recognize that SBOW has a P/CF ratio of 2.88. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. SBOW's current P/CF looks attractive when compared to its industry's average P/CF of 8.43. Over the past 52 weeks, SBOW's P/CF has been as high as 11.15 and as low as 2.09, with a median of 4.10.
Investors could also keep in mind Stone Energy (TALO - Free Report) , an Oil and Gas - Exploration and Production - United States stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Stone Energy sports a P/B ratio of 1.83 as well; this compares to its industry's price-to-book ratio of 3.54. In the past 52 weeks, TALO's P/B has been as high as 2.99, as low as 1.05, with a median of 1.67.
These are only a few of the key metrics included in SilverBow Resources and Stone Energy strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, SBOW and TALO look like an impressive value stock at the moment.