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Is Meritage Hospitality Group (MHGU) 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 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.
Meritage Hospitality Group (MHGU - Free Report) is a stock many investors are watching right now. MHGU is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with a P/E ratio of 11.75, which compares to its industry's average of 23.88. Over the last 12 months, MHGU's Forward P/E has been as high as 19.79 and as low as 11.44, with a median of 15.57.
Finally, investors will want to recognize that MHGU has a P/CF ratio of 5.74. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 21.03. Within the past 12 months, MHGU's P/CF has been as high as 7.73 and as low as 4.90, with a median of 5.84.
These are only a few of the key metrics included in Meritage Hospitality Group'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, MHGU looks like an impressive value stock at the moment.
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Is Meritage Hospitality Group (MHGU) Stock Undervalued Right Now?
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 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.
Meritage Hospitality Group (MHGU - Free Report) is a stock many investors are watching right now. MHGU is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock is trading with a P/E ratio of 11.75, which compares to its industry's average of 23.88. Over the last 12 months, MHGU's Forward P/E has been as high as 19.79 and as low as 11.44, with a median of 15.57.
Finally, investors will want to recognize that MHGU has a P/CF ratio of 5.74. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 21.03. Within the past 12 months, MHGU's P/CF has been as high as 7.73 and as low as 4.90, with a median of 5.84.
These are only a few of the key metrics included in Meritage Hospitality Group'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, MHGU looks like an impressive value stock at the moment.