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Should Value Investors Buy D S SMITH (DITHF) 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 value investors might notice is D S SMITH (DITHF - Free Report) . DITHF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 8, while its industry has an average P/E of 10.92. DITHF's Forward P/E has been as high as 8.84 and as low as 7.69, with a median of 8.08, all within the past year.
Another valuation metric that we should highlight is DITHF's P/B ratio of 0.90. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. DITHF's current P/B looks attractive when compared to its industry's average P/B of 2.13. DITHF's P/B has been as high as 1.17 and as low as 0.90, with a median of 1.02, over the past year.
Suzano (SUZ - Free Report) may be another strong Paper and Related Products stock to add to your shortlist. SUZ is a # 2 (Buy) stock with a Value grade of A.
Suzano is trading at a forward earnings multiple of 7.30 at the moment, with a PEG ratio of 0.69. This compares to its industry's average P/E of 10.92 and average PEG ratio of 1.13.
SUZ's price-to-earnings ratio has been as high as 7.71 and as low as 4.32, with a median of 5.43, while its PEG ratio has been as high as 1.08 and as low as 0.41, with a median of 0.77, all within the past year.
Additionally, Suzano has a P/B ratio of 1.66 while its industry's price-to-book ratio sits at 2.13. For SUZ, this valuation metric has been as high as 2.13, as low as 1.39, with a median of 1.69 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that D S SMITH and Suzano are likely undervalued currently. And when considering the strength of its earnings outlook, DITHF and SUZ sticks out as one of the market's strongest value stocks.
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Should Value Investors Buy D S SMITH (DITHF) 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 value investors might notice is D S SMITH (DITHF - Free Report) . DITHF is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 8, while its industry has an average P/E of 10.92. DITHF's Forward P/E has been as high as 8.84 and as low as 7.69, with a median of 8.08, all within the past year.
Another valuation metric that we should highlight is DITHF's P/B ratio of 0.90. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. DITHF's current P/B looks attractive when compared to its industry's average P/B of 2.13. DITHF's P/B has been as high as 1.17 and as low as 0.90, with a median of 1.02, over the past year.
Suzano (SUZ - Free Report) may be another strong Paper and Related Products stock to add to your shortlist. SUZ is a # 2 (Buy) stock with a Value grade of A.
Suzano is trading at a forward earnings multiple of 7.30 at the moment, with a PEG ratio of 0.69. This compares to its industry's average P/E of 10.92 and average PEG ratio of 1.13.
SUZ's price-to-earnings ratio has been as high as 7.71 and as low as 4.32, with a median of 5.43, while its PEG ratio has been as high as 1.08 and as low as 0.41, with a median of 0.77, all within the past year.
Additionally, Suzano has a P/B ratio of 1.66 while its industry's price-to-book ratio sits at 2.13. For SUZ, this valuation metric has been as high as 2.13, as low as 1.39, with a median of 1.69 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that D S SMITH and Suzano are likely undervalued currently. And when considering the strength of its earnings outlook, DITHF and SUZ sticks out as one of the market's strongest value stocks.