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Are Investors Undervaluing Associated British Foods (ASBFY) 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, 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.
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 Associated British Foods (ASBFY - Free Report) . ASBFY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 13.43, while its industry has an average P/E of 16.28. Over the last 12 months, ASBFY's Forward P/E has been as high as 14.53 and as low as 10.72, with a median of 13.24.
We should also highlight that ASBFY has a P/B ratio of 1.84. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2.16. Over the past 12 months, ASBFY's P/B has been as high as 1.91 and as low as 1.28, with a median of 1.59.
Value investors will likely look at more than just these metrics, but the above data helps show that Associated British Foods is likely undervalued currently. And when considering the strength of its earnings outlook, ASBFY sticks out at as one of the market's strongest value stocks.
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Are Investors Undervaluing Associated British Foods (ASBFY) Right Now?
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, 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.
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 Associated British Foods (ASBFY - Free Report) . ASBFY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 13.43, while its industry has an average P/E of 16.28. Over the last 12 months, ASBFY's Forward P/E has been as high as 14.53 and as low as 10.72, with a median of 13.24.
We should also highlight that ASBFY has a P/B ratio of 1.84. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2.16. Over the past 12 months, ASBFY's P/B has been as high as 1.91 and as low as 1.28, with a median of 1.59.
Value investors will likely look at more than just these metrics, but the above data helps show that Associated British Foods is likely undervalued currently. And when considering the strength of its earnings outlook, ASBFY sticks out at as one of the market's strongest value stocks.