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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 value investors might notice is Celestica (CLS - Free Report) . CLS is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 6.18 right now. For comparison, its industry sports an average P/E of 9.53. CLS's Forward P/E has been as high as 9.44 and as low as 4.65, with a median of 6.65, all within the past year.
Investors should also note that CLS holds a PEG ratio of 0.45. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CLS's PEG compares to its industry's average PEG of 0.75. Within the past year, CLS's PEG has been as high as 0.93 and as low as 0.33, with a median of 0.46.
We should also highlight that CLS has a P/B ratio of 0.89. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. CLS's current P/B looks attractive when compared to its industry's average P/B of 2.62. Over the past 12 months, CLS's P/B has been as high as 1.10 and as low as 0.67, with a median of 0.90.
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. CLS has a P/S ratio of 0.2. This compares to its industry's average P/S of 0.37.
Finally, we should also recognize that CLS has a P/CF ratio of 5.24. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 5.77. Over the past 52 weeks, CLS's P/CF has been as high as 6.97 and as low as 3.92, with a median of 5.61.
Jabil (JBL - Free Report) may be another strong Electronics - Manufacturing Services stock to add to your shortlist. JBL is a # 1 (Strong Buy) stock with a Value grade of A.
Jabil is trading at a forward earnings multiple of 7.84 at the moment, with a PEG ratio of 0.65. This compares to its industry's average P/E of 9.53 and average PEG ratio of 0.75.
JBL's Forward P/E has been as high as 10.74 and as low as 6.46, with a median of 7.95. During the same time period, its PEG ratio has been as high as 0.89, as low as 0.54, with a median of 0.66.
Additionally, Jabil has a P/B ratio of 3.63 while its industry's price-to-book ratio sits at 2.62. For JBL, this valuation metric has been as high as 4.64, as low as 2.95, with a median of 3.59 over the past year.
These are only a few of the key metrics included in Celestica and Jabil strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, CLS and JBL look like an impressive value stock at the moment.
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Should Value Investors Buy Celestica (CLS) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 value investors might notice is Celestica (CLS - Free Report) . CLS is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 6.18 right now. For comparison, its industry sports an average P/E of 9.53. CLS's Forward P/E has been as high as 9.44 and as low as 4.65, with a median of 6.65, all within the past year.
Investors should also note that CLS holds a PEG ratio of 0.45. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CLS's PEG compares to its industry's average PEG of 0.75. Within the past year, CLS's PEG has been as high as 0.93 and as low as 0.33, with a median of 0.46.
We should also highlight that CLS has a P/B ratio of 0.89. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. CLS's current P/B looks attractive when compared to its industry's average P/B of 2.62. Over the past 12 months, CLS's P/B has been as high as 1.10 and as low as 0.67, with a median of 0.90.
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. CLS has a P/S ratio of 0.2. This compares to its industry's average P/S of 0.37.
Finally, we should also recognize that CLS has a P/CF ratio of 5.24. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 5.77. Over the past 52 weeks, CLS's P/CF has been as high as 6.97 and as low as 3.92, with a median of 5.61.
Jabil (JBL - Free Report) may be another strong Electronics - Manufacturing Services stock to add to your shortlist. JBL is a # 1 (Strong Buy) stock with a Value grade of A.
Jabil is trading at a forward earnings multiple of 7.84 at the moment, with a PEG ratio of 0.65. This compares to its industry's average P/E of 9.53 and average PEG ratio of 0.75.
JBL's Forward P/E has been as high as 10.74 and as low as 6.46, with a median of 7.95. During the same time period, its PEG ratio has been as high as 0.89, as low as 0.54, with a median of 0.66.
Additionally, Jabil has a P/B ratio of 3.63 while its industry's price-to-book ratio sits at 2.62. For JBL, this valuation metric has been as high as 4.64, as low as 2.95, with a median of 3.59 over the past year.
These are only a few of the key metrics included in Celestica and Jabil strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, CLS and JBL look like an impressive value stock at the moment.