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Should Value Investors Buy Britvic (BTVCY) Stock?

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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.

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.

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 Britvic (BTVCY - Free Report) . BTVCY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 17.88, while its industry has an average P/E of 21.10. BTVCY's Forward P/E has been as high as 18.70 and as low as 10.96, with a median of 14.25, all within the past year.

Investors should also recognize that BTVCY has a P/B ratio of 4.86. The P/B ratio pits a stock's market value against 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 10.44. Over the past year, BTVCY's P/B has been as high as 5.07 and as low as 3.41, with a median of 4.32.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Britvic is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BTVCY feels like a great value stock at the moment.


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