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Should Value Investors Buy Stellantis (STLA) Stock?
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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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.
Stellantis (STLA - Free Report) is a stock many investors are watching right now. STLA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 3.62 right now. For comparison, its industry sports an average P/E of 9.77. Over the last 12 months, STLA's Forward P/E has been as high as 4.28 and as low as 2.64, with a median of 3.44.
Investors should also recognize that STLA has a P/B ratio of 0.72. 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. This stock's P/B looks attractive against its industry's average P/B of 1.18. STLA's P/B has been as high as 0.77 and as low as 0.53, with a median of 0.67, over the past year.
These are just a handful of the figures considered in Stellantis'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 STLA is an impressive value stock right now.
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Should Value Investors Buy Stellantis (STLA) Stock?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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.
Stellantis (STLA - Free Report) is a stock many investors are watching right now. STLA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 3.62 right now. For comparison, its industry sports an average P/E of 9.77. Over the last 12 months, STLA's Forward P/E has been as high as 4.28 and as low as 2.64, with a median of 3.44.
Investors should also recognize that STLA has a P/B ratio of 0.72. 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. This stock's P/B looks attractive against its industry's average P/B of 1.18. STLA's P/B has been as high as 0.77 and as low as 0.53, with a median of 0.67, over the past year.
These are just a handful of the figures considered in Stellantis'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 STLA is an impressive value stock right now.