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Should Value Investors Buy Private Bancorp of America (PBAM) Stock?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. 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 to watch right now is Private Bancorp of America (PBAM - Free Report) . PBAM 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 7.87 right now. For comparison, its industry sports an average P/E of 13.77. PBAM's Forward P/E has been as high as 7.87 and as low as 4.84, with a median of 6.53, all within the past year.
Another notable valuation metric for PBAM is its P/B ratio of 1.26. Investors use the P/B ratio to look at a stock's market value versus 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 1.92. Within the past 52 weeks, PBAM's P/B has been as high as 1.26 and as low as 1, with a median of 1.08.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. PBAM has a P/S ratio of 1.67. This compares to its industry's average P/S of 1.83.
Finally, our model also underscores that PBAM has a P/CF ratio of 8.05. 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. This stock's P/CF looks attractive against its industry's average P/CF of 15.90. Over the past 52 weeks, PBAM's P/CF has been as high as 8.05 and as low as 4.66, with a median of 5.20.
These are only a few of the key metrics included in Private Bancorp of America'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, PBAM looks like an impressive value stock at the moment.
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Should Value Investors Buy Private Bancorp of America (PBAM) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. 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 to watch right now is Private Bancorp of America (PBAM - Free Report) . PBAM 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 7.87 right now. For comparison, its industry sports an average P/E of 13.77. PBAM's Forward P/E has been as high as 7.87 and as low as 4.84, with a median of 6.53, all within the past year.
Another notable valuation metric for PBAM is its P/B ratio of 1.26. Investors use the P/B ratio to look at a stock's market value versus 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 1.92. Within the past 52 weeks, PBAM's P/B has been as high as 1.26 and as low as 1, with a median of 1.08.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. PBAM has a P/S ratio of 1.67. This compares to its industry's average P/S of 1.83.
Finally, our model also underscores that PBAM has a P/CF ratio of 8.05. 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. This stock's P/CF looks attractive against its industry's average P/CF of 15.90. Over the past 52 weeks, PBAM's P/CF has been as high as 8.05 and as low as 4.66, with a median of 5.20.
These are only a few of the key metrics included in Private Bancorp of America'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, PBAM looks like an impressive value stock at the moment.