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Is Randstad Holding (RANJY) a Great Value Stock Right Now?

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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.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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 Randstad Holding (RANJY - Free Report) . RANJY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 12.72 right now. For comparison, its industry sports an average P/E of 18.30. Over the past year, RANJY's Forward P/E has been as high as 20.09 and as low as 11.93, with a median of 13.43.

Investors should also recognize that RANJY has a P/B ratio of 1.97. 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. This stock's P/B looks solid versus its industry's average P/B of 2.30. Over the past year, RANJY's P/B has been as high as 2.32 and as low as 1.82, with a median of 2.03.

Finally, investors will want to recognize that RANJY has a P/CF ratio of 9.36. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 13.78. Over the past 52 weeks, RANJY's P/CF has been as high as 10.57 and as low as 7.15, with a median of 8.58.

These are only a few of the key metrics included in Randstad Holding's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, RANJY looks like an impressive value stock at the moment.


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