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Should Value Investors Buy Allianz (ALIZY) Stock?

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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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

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 Allianz (ALIZY - Free Report) . ALIZY is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 9.08, while its industry has an average P/E of 9.87. ALIZY's Forward P/E has been as high as 17.69 and as low as -37.79, with a median of 8.90, all within the past year.

Another valuation metric that we should highlight is ALIZY's P/B ratio of 1.42. 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. ALIZY's current P/B looks attractive when compared to its industry's average P/B of 3.03. Over the past 12 months, ALIZY's P/B has been as high as 1.42 and as low as 0.77, with a median of 1.05.

Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. ALIZY has a P/S ratio of 0.55. This compares to its industry's average P/S of 0.84.

Zurich Insurance Group (ZURVY - Free Report) may be another strong Insurance - Multi line stock to add to your shortlist. ZURVY is a # 2 (Buy) stock with a Value grade of A.

Shares of Zurich Insurance Group currently holds a Forward P/E ratio of 11.47, and its PEG ratio is 1.29. In comparison, its industry sports average P/E and PEG ratios of 9.87 and 1.63.

ZURVY's price-to-earnings ratio has been as high as 15.14 and as low as 9.97, with a median of 11.67, while its PEG ratio has been as high as 2.03 and as low as 1.05, with a median of 1.34, all within the past year.

Furthermore, Zurich Insurance Group holds a P/B ratio of 2.49 and its industry's price-to-book ratio is 3.03. ZURVY's P/B has been as high as 2.52, as low as 1.60, with a median of 2.05 over the past 12 months.

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


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