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Should Value Investors Buy Edgewell Personal Care (EPC) 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, value investing is easily one of the most popular ways to find great stocks in any market environment. 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 Edgewell Personal Care (EPC - Free Report) . EPC is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 12.60, while its industry has an average P/E of 18.05. Over the last 12 months, EPC's Forward P/E has been as high as 16.25 and as low as 12.04, with a median of 13.20.

Finally, we should also recognize that EPC has a P/CF ratio of 9.12. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 18.47. EPC's P/CF has been as high as 12.05 and as low as 8.27, with a median of 9.42, all within the past year.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Edgewell Personal Care is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, EPC feels like a great value stock at the moment.


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