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Is BuildABear Workshop (BBW) Stock Undervalued Right Now?

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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, 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.

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.

BuildABear Workshop (BBW - Free Report) is a stock many investors are watching right now. BBW is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with P/E ratio of 7.04 right now. For comparison, its industry sports an average P/E of 18.86. Over the past year, BBW's Forward P/E has been as high as 8.47 and as low as 4.39, with a median of 6.50.

Finally, investors should note that BBW has a P/CF ratio of 6.01. 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 17.96. BBW's P/CF has been as high as 6.10 and as low as 3.11, with a median of 4.59, all within the past year.

Another great Retail - Miscellaneous stock you could consider is DICK'S Sporting Goods (DKS - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.

Shares of DICK'S Sporting Goods currently holds a Forward P/E ratio of 11.26, and its PEG ratio is 2.07. In comparison, its industry sports average P/E and PEG ratios of 18.86 and 1.98.

Over the last 12 months, DKS's P/E has been as high as 12.41, as low as 5.57, with a median of 9.26, and its PEG ratio has been as high as 2.48, as low as 0.73, with a median of 1.85.

Additionally, DICK'S Sporting Goods has a P/B ratio of 4.59 while its industry's price-to-book ratio sits at 16.02. For DKS, this valuation metric has been as high as 4.70, as low as 2.61, with a median of 3.88 over the past year.

These are just a handful of the figures considered in BuildABear Workshop and DICK'S Sporting Goods'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 BBW and DKS is an impressive value stock right now.


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DICK'S Sporting Goods, Inc. (DKS) - free report >>

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