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Is Eutelsat Communications (EUTLF) Stock Undervalued Right Now?

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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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.

Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.

Eutelsat Communications (EUTLF - Free Report) is a stock many investors are watching right now. EUTLF is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock holds a P/E ratio of 5.35, while its industry has an average P/E of 12.32. Over the past 52 weeks, EUTLF's Forward P/E has been as high as 11.25 and as low as 3.73, with a median of 5.63.

Investors should also recognize that EUTLF has a P/B ratio of 0.58. 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. This stock's P/B looks attractive against its industry's average P/B of 0.95. EUTLF's P/B has been as high as 1 and as low as 0.51, with a median of 0.80, over the past year.

Investors could also keep in mind Liberty Media , an Satellite and Communication stock with a Zacks Rank of # 2 (Buy) and Value grade of A.

Shares of Liberty Media are currently trading at a forward earnings multiple of 11.29 and a PEG ratio of 0.30 compared to its industry's P/E and PEG ratios of 12.32 and 0.32, respectively.

LSXMK's Forward P/E has been as high as 20.45 and as low as 10.09, with a median of 12.42. During the same time period, its PEG ratio has been as high as 0.49, as low as 0.26, with a median of 0.37.

These are just a handful of the figures considered in Eutelsat Communications and Liberty Media's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that EUTLF and LSXMK is an impressive value stock right now.


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