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Is Expedia Group (EXPE) 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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.

One stock to keep an eye on is Expedia Group (EXPE - Free Report) . EXPE is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.

Investors should also recognize that EXPE has a P/B ratio of 3.68. 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 company's current P/B looks solid when compared to its industry's average P/B of 3.99. EXPE's P/B has been as high as 9.38 and as low as 3.52, with a median of 5.02, over the past year.

Finally, our model also underscores that EXPE has a P/CF ratio of 7.73. 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. EXPE's P/CF compares to its industry's average P/CF of 14.49. EXPE's P/CF has been as high as 66.03 and as low as 7.39, with a median of 10.17, all within the past year.

JD.com (JD - Free Report) may be another strong Internet - Commerce stock to add to your shortlist. JD is a # 2 (Buy) stock with a Value grade of A.

Shares of JD.com currently holds a Forward P/E ratio of 20.68, and its PEG ratio is 1.02. In comparison, its industry sports average P/E and PEG ratios of 43.17 and 2.36.

Over the last 12 months, JD's P/E has been as high as 41.18, as low as 14.54, with a median of 25.36, and its PEG ratio has been as high as 1.53, as low as 0.73, with a median of 1.23.

Furthermore, JD.com holds a P/B ratio of 1.99 and its industry's price-to-book ratio is 3.99. JD's P/B has been as high as 2.72, as low as 1.30, with a median of 2.06 over the past 12 months.

These are only a few of the key metrics included in Expedia Group and JD.com strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, EXPE and JD look like an impressive value stock at the moment.


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