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Should Value Investors Buy Dycom Industries (DY) 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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Dycom Industries (DY - Free Report) . DY 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 19.26 right now. For comparison, its industry sports an average P/E of 21.14. Over the last 12 months, DY's Forward P/E has been as high as 20.75 and as low as 12.13, with a median of 16.61.
Investors will also notice that DY has a PEG ratio of 0.81. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. DY's industry has an average PEG of 1.25 right now. Over the past 52 weeks, DY's PEG has been as high as 1.04 and as low as 0.69, with a median of 0.85.
Finally, investors will want to recognize that DY has a P/CF ratio of 10.94. 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. DY's current P/CF looks attractive when compared to its industry's average P/CF of 17.40. Within the past 12 months, DY's P/CF has been as high as 11.09 and as low as 6.42, with a median of 8.91.
These are just a handful of the figures considered in Dycom Industries'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 DY is an impressive value stock right now.
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Should Value Investors Buy Dycom Industries (DY) 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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Dycom Industries (DY - Free Report) . DY 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 19.26 right now. For comparison, its industry sports an average P/E of 21.14. Over the last 12 months, DY's Forward P/E has been as high as 20.75 and as low as 12.13, with a median of 16.61.
Investors will also notice that DY has a PEG ratio of 0.81. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. DY's industry has an average PEG of 1.25 right now. Over the past 52 weeks, DY's PEG has been as high as 1.04 and as low as 0.69, with a median of 0.85.
Finally, investors will want to recognize that DY has a P/CF ratio of 10.94. 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. DY's current P/CF looks attractive when compared to its industry's average P/CF of 17.40. Within the past 12 months, DY's P/CF has been as high as 11.09 and as low as 6.42, with a median of 8.91.
These are just a handful of the figures considered in Dycom Industries'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 DY is an impressive value stock right now.