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Are Investors Undervaluing Nissan Motor Co. (NSANY) Right Now?

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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.

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.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

One company to watch right now is Nissan Motor Co. (NSANY - Free Report) . NSANY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 5.86 right now. For comparison, its industry sports an average P/E of 9.33. Over the past 52 weeks, NSANY's Forward P/E has been as high as 13.36 and as low as 5.18, with a median of 6.34.

NSANY is also sporting a PEG ratio of 0.20. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. NSANY's PEG compares to its industry's average PEG of 0.35. Within the past year, NSANY's PEG has been as high as 0.61 and as low as 0.18, with a median of 0.25.

Finally, we should also recognize that NSANY has a P/CF ratio of 1.88. 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 6.50. Over the past 52 weeks, NSANY's P/CF has been as high as 2.68 and as low as 1.80, with a median of 2.19.

Stellantis (STLA - Free Report) may be another strong Automotive - Foreign stock to add to your shortlist. STLA is a # 2 (Buy) stock with a Value grade of A.

Shares of Stellantis currently holds a Forward P/E ratio of 3.67, and its PEG ratio is 1.82. In comparison, its industry sports average P/E and PEG ratios of 9.33 and 0.35.

Over the past year, STLA's P/E has been as high as 4.28, as low as 2.79, with a median of 3.51; its PEG ratio has been as high as 2.12, as low as 0.10, with a median of 0.25 during the same time period.

Furthermore, Stellantis holds a P/B ratio of 0.75 and its industry's price-to-book ratio is 1.14. STLA's P/B has been as high as 0.77, as low as 0.58, with a median of 0.69 over the past 12 months.

These are only a few of the key metrics included in Nissan Motor Co. and Stellantis strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, NSANY and STLA look like an impressive value stock at the moment.


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