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Is Haemonetics (HAE) Stock Undervalued Right Now?

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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.

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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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 Haemonetics (HAE - Free Report) . HAE is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 17.99, which compares to its industry's average of 20.18. Over the past 52 weeks, HAE's Forward P/E has been as high as 24.42 and as low as 17.15, with a median of 20.29.

HAE is also sporting a PEG ratio of 1.50. 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. HAE's PEG compares to its industry's average PEG of 2.04. HAE's PEG has been as high as 2.44 and as low as 1.46, with a median of 2.02, all within the past year.

We should also highlight that HAE has a P/B ratio of 4.55. 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 7.02. HAE's P/B has been as high as 5.43 and as low as 3.83, with a median of 4.70, over the past year.

Finally, investors will want to recognize that HAE has a P/CF ratio of 19.91. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 33.50. Within the past 12 months, HAE's P/CF has been as high as 22.62 and as low as 16.41, with a median of 19.72.

These are just a handful of the figures considered in Haemonetics's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that HAE is an impressive value stock right now.


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