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Should Value Investors Buy TTM Technologies (TTMI) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
One company value investors might notice is TTM Technologies (TTMI - Free Report) . TTMI is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 11.04 right now. For comparison, its industry sports an average P/E of 23.09. Over the last 12 months, TTMI's Forward P/E has been as high as 13.14 and as low as 7.53, with a median of 9.94.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. TTMI has a P/S ratio of 0.63. This compares to its industry's average P/S of 1.37.
Finally, we should also recognize that TTMI has a P/CF ratio of 7.16. 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. TTMI's current P/CF looks attractive when compared to its industry's average P/CF of 23.84. Over the past year, TTMI's P/CF has been as high as 8.89 and as low as 5.09, with a median of 6.76.
Value investors will likely look at more than just these metrics, but the above data helps show that TTM Technologies is likely undervalued currently. And when considering the strength of its earnings outlook, TTMI sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy TTM Technologies (TTMI) Stock?
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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
One company value investors might notice is TTM Technologies (TTMI - Free Report) . TTMI is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 11.04 right now. For comparison, its industry sports an average P/E of 23.09. Over the last 12 months, TTMI's Forward P/E has been as high as 13.14 and as low as 7.53, with a median of 9.94.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. TTMI has a P/S ratio of 0.63. This compares to its industry's average P/S of 1.37.
Finally, we should also recognize that TTMI has a P/CF ratio of 7.16. 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. TTMI's current P/CF looks attractive when compared to its industry's average P/CF of 23.84. Over the past year, TTMI's P/CF has been as high as 8.89 and as low as 5.09, with a median of 6.76.
Value investors will likely look at more than just these metrics, but the above data helps show that TTM Technologies is likely undervalued currently. And when considering the strength of its earnings outlook, TTMI sticks out at as one of the market's strongest value stocks.