We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Should Value Investors Buy CF Bankshares (CFBK) Stock?
Read MoreHide Full Article
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, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. 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 CF Bankshares (CFBK - Free Report) . CFBK is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 7.44, which compares to its industry's average of 8.26. CFBK's Forward P/E has been as high as 8.18 and as low as 6.15, with a median of 7.23, all within the past year.
We should also highlight that CFBK has a P/B ratio of 0.91. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. CFBK's current P/B looks attractive when compared to its industry's average P/B of 1.48. Over the past year, CFBK's P/B has been as high as 0.96 and as low as 0.81, with a median of 0.86.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CFBK has a P/S ratio of 1.93. This compares to its industry's average P/S of 2.72.
Finally, we should also recognize that CFBK has a P/CF ratio of 8.78. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 14.04. Over the past year, CFBK's P/CF has been as high as 9.75 and as low as 6.80, with a median of 8.44.
Value investors will likely look at more than just these metrics, but the above data helps show that CF Bankshares is likely undervalued currently. And when considering the strength of its earnings outlook, CFBK sticks out at as one of the market's strongest value stocks.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Should Value Investors Buy CF Bankshares (CFBK) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. 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 CF Bankshares (CFBK - Free Report) . CFBK is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 7.44, which compares to its industry's average of 8.26. CFBK's Forward P/E has been as high as 8.18 and as low as 6.15, with a median of 7.23, all within the past year.
We should also highlight that CFBK has a P/B ratio of 0.91. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. CFBK's current P/B looks attractive when compared to its industry's average P/B of 1.48. Over the past year, CFBK's P/B has been as high as 0.96 and as low as 0.81, with a median of 0.86.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CFBK has a P/S ratio of 1.93. This compares to its industry's average P/S of 2.72.
Finally, we should also recognize that CFBK has a P/CF ratio of 8.78. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 14.04. Over the past year, CFBK's P/CF has been as high as 9.75 and as low as 6.80, with a median of 8.44.
Value investors will likely look at more than just these metrics, but the above data helps show that CF Bankshares is likely undervalued currently. And when considering the strength of its earnings outlook, CFBK sticks out at as one of the market's strongest value stocks.