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Are Investors Undervaluing Autoliv (ALV) 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.
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 company value investors might notice is Autoliv (ALV - Free Report) . ALV is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 9.98 right now. For comparison, its industry sports an average P/E of 13.72. Over the last 12 months, ALV's Forward P/E has been as high as 15.35 and as low as 9.92, with a median of 11.22.
We also note that ALV holds a PEG ratio of 0.55. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ALV's industry has an average PEG of 0.66 right now. Over the last 12 months, ALV's PEG has been as high as 0.77 and as low as 0.32, with a median of 0.47.
Finally, we should also recognize that ALV has a P/CF ratio of 9.59. 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. ALV's current P/CF looks attractive when compared to its industry's average P/CF of 23.34. Over the past 52 weeks, ALV's P/CF has been as high as 12 and as low as 9.21, with a median of 10.80.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Autoliv is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ALV feels like a great value stock at the moment.
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Are Investors Undervaluing Autoliv (ALV) 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.
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 company value investors might notice is Autoliv (ALV - Free Report) . ALV is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with P/E ratio of 9.98 right now. For comparison, its industry sports an average P/E of 13.72. Over the last 12 months, ALV's Forward P/E has been as high as 15.35 and as low as 9.92, with a median of 11.22.
We also note that ALV holds a PEG ratio of 0.55. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ALV's industry has an average PEG of 0.66 right now. Over the last 12 months, ALV's PEG has been as high as 0.77 and as low as 0.32, with a median of 0.47.
Finally, we should also recognize that ALV has a P/CF ratio of 9.59. 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. ALV's current P/CF looks attractive when compared to its industry's average P/CF of 23.34. Over the past 52 weeks, ALV's P/CF has been as high as 12 and as low as 9.21, with a median of 10.80.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Autoliv is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ALV feels like a great value stock at the moment.