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Are Investors Undervaluing ClevelandCliffs (CLF) Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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.
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 ClevelandCliffs (CLF - Free Report) . CLF is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 6.73, which compares to its industry's average of 11.46. Over the past 52 weeks, CLF's Forward P/E has been as high as 15.79 and as low as 2.98, with a median of 4.93.
Another notable valuation metric for CLF is its P/B ratio of 1.25. The P/B ratio is used to compare a stock's market value with 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 3.57. Over the past year, CLF's P/B has been as high as 2.86 and as low as 0.84, with a median of 1.36.
Finally, investors should note that CLF has a P/CF ratio of 2.64. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 9.38. Over the past year, CLF's P/CF has been as high as 4.32 and as low as 1.49, with a median of 2.34.
Rio Tinto (RIO - Free Report) may be another strong Mining - Miscellaneous stock to add to your shortlist. RIO is a # 2 (Buy) stock with a Value grade of A.
Shares of Rio Tinto are currently trading at a forward earnings multiple of 8.80 and a PEG ratio of 1.76 compared to its industry's P/E and PEG ratios of 11.46 and 1.17, respectively.
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Are Investors Undervaluing ClevelandCliffs (CLF) Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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.
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 ClevelandCliffs (CLF - Free Report) . CLF is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 6.73, which compares to its industry's average of 11.46. Over the past 52 weeks, CLF's Forward P/E has been as high as 15.79 and as low as 2.98, with a median of 4.93.
Another notable valuation metric for CLF is its P/B ratio of 1.25. The P/B ratio is used to compare a stock's market value with 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 3.57. Over the past year, CLF's P/B has been as high as 2.86 and as low as 0.84, with a median of 1.36.
Finally, investors should note that CLF has a P/CF ratio of 2.64. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 9.38. Over the past year, CLF's P/CF has been as high as 4.32 and as low as 1.49, with a median of 2.34.
Rio Tinto (RIO - Free Report) may be another strong Mining - Miscellaneous stock to add to your shortlist. RIO is a # 2 (Buy) stock with a Value grade of A.
Shares of Rio Tinto are currently trading at a forward earnings multiple of 8.80 and a PEG ratio of 1.76 compared to its industry's P/E and PEG ratios of 11.46 and 1.17, respectively.