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Are Investors Undervaluing Kinross Gold (KGC) 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.
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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Kinross Gold (KGC - Free Report) is a stock many investors are watching right now. KGC 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 13.58 right now. For comparison, its industry sports an average P/E of 14.97. Over the last 12 months, KGC's Forward P/E has been as high as 19 and as low as 10.88, with a median of 14.04.
Investors should also note that KGC holds a PEG ratio of 0.46. 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. KGC's PEG compares to its industry's average PEG of 0.50. KGC's PEG has been as high as 2.13 and as low as 0.41, with a median of 0.92, all within the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. KGC has a P/S ratio of 2.28. This compares to its industry's average P/S of 3.03.
Finally, our model also underscores that KGC has a P/CF ratio of 6.81. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 12.43. Within the past 12 months, KGC's P/CF has been as high as 7.25 and as low as 4.18, with a median of 5.45.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Kinross Gold is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, KGC feels like a great value stock at the moment.
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Are Investors Undervaluing Kinross Gold (KGC) 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.
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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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.
Kinross Gold (KGC - Free Report) is a stock many investors are watching right now. KGC 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 13.58 right now. For comparison, its industry sports an average P/E of 14.97. Over the last 12 months, KGC's Forward P/E has been as high as 19 and as low as 10.88, with a median of 14.04.
Investors should also note that KGC holds a PEG ratio of 0.46. 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. KGC's PEG compares to its industry's average PEG of 0.50. KGC's PEG has been as high as 2.13 and as low as 0.41, with a median of 0.92, all within the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. KGC has a P/S ratio of 2.28. This compares to its industry's average P/S of 3.03.
Finally, our model also underscores that KGC has a P/CF ratio of 6.81. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 12.43. Within the past 12 months, KGC's P/CF has been as high as 7.25 and as low as 4.18, with a median of 5.45.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Kinross Gold is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, KGC feels like a great value stock at the moment.