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Should Value Investors Buy Warner Bros. Discovery (WBD) Stock?
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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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. 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 company value investors might notice is Warner Bros. Discovery (WBD - Free Report) . WBD is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 9.24, while its industry has an average P/E of 15.40. WBD's Forward P/E has been as high as 10.39 and as low as 6.71, with a median of 8.67, all within the past year.
Investors will also notice that WBD has a PEG ratio of 1.14. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. WBD's industry has an average PEG of 1.54 right now. Within the past year, WBD's PEG has been as high as 1.28 and as low as 0.67, with a median of 0.89.
Value investors will likely look at more than just these metrics, but the above data helps show that Warner Bros. Discovery is likely undervalued currently. And when considering the strength of its earnings outlook, WBD sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy Warner Bros. Discovery (WBD) Stock?
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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. 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 company value investors might notice is Warner Bros. Discovery (WBD - Free Report) . WBD is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 9.24, while its industry has an average P/E of 15.40. WBD's Forward P/E has been as high as 10.39 and as low as 6.71, with a median of 8.67, all within the past year.
Investors will also notice that WBD has a PEG ratio of 1.14. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. WBD's industry has an average PEG of 1.54 right now. Within the past year, WBD's PEG has been as high as 1.28 and as low as 0.67, with a median of 0.89.
Value investors will likely look at more than just these metrics, but the above data helps show that Warner Bros. Discovery is likely undervalued currently. And when considering the strength of its earnings outlook, WBD sticks out at as one of the market's strongest value stocks.