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Are Investors Undervaluing PulteGroup (PHM) 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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 company value investors might notice is PulteGroup (PHM - Free Report) . PHM is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.81, which compares to its industry's average of 10.44. Over the past year, PHM's Forward P/E has been as high as 8.81 and as low as 3.32, with a median of 4.34.
Investors will also notice that PHM has a PEG ratio of 0.55. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PHM's industry has an average PEG of 0.83 right now. Over the last 12 months, PHM's PEG has been as high as 4.10 and as low as 0.43, with a median of 0.77.
Finally, our model also underscores that PHM has a P/CF ratio of 5.51. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 5.58. Over the past 52 weeks, PHM's P/CF has been as high as 5.51 and as low as 3.45, with a median of 4.46.
These are only a few of the key metrics included in PulteGroup's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, PHM looks like an impressive value stock at the moment.
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Are Investors Undervaluing PulteGroup (PHM) Right Now?
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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 company value investors might notice is PulteGroup (PHM - Free Report) . PHM is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 8.81, which compares to its industry's average of 10.44. Over the past year, PHM's Forward P/E has been as high as 8.81 and as low as 3.32, with a median of 4.34.
Investors will also notice that PHM has a PEG ratio of 0.55. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PHM's industry has an average PEG of 0.83 right now. Over the last 12 months, PHM's PEG has been as high as 4.10 and as low as 0.43, with a median of 0.77.
Finally, our model also underscores that PHM has a P/CF ratio of 5.51. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 5.58. Over the past 52 weeks, PHM's P/CF has been as high as 5.51 and as low as 3.45, with a median of 4.46.
These are only a few of the key metrics included in PulteGroup's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, PHM looks like an impressive value stock at the moment.