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Should Value Investors Buy Ingredion (INGR) Stock?
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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is Ingredion (INGR - Free Report) . INGR is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 12.97, which compares to its industry's average of 16.68. INGR's Forward P/E has been as high as 13.07 and as low as 9.36, with a median of 11.53, all within the past year.
INGR is also sporting a PEG ratio of 1.18. 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. INGR's PEG compares to its industry's average PEG of 1.43. Within the past year, INGR's PEG has been as high as 1.19 and as low as 0.85, with a median of 1.05.
Finally, investors will want to recognize that INGR has a P/CF ratio of 10.38. 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. INGR's P/CF compares to its industry's average P/CF of 18. Within the past 12 months, INGR's P/CF has been as high as 10.45 and as low as 7.10, with a median of 8.67.
Value investors will likely look at more than just these metrics, but the above data helps show that Ingredion is likely undervalued currently. And when considering the strength of its earnings outlook, INGR sticks out at as one of the market's strongest value stocks.
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Should Value Investors Buy Ingredion (INGR) Stock?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is Ingredion (INGR - Free Report) . INGR is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 12.97, which compares to its industry's average of 16.68. INGR's Forward P/E has been as high as 13.07 and as low as 9.36, with a median of 11.53, all within the past year.
INGR is also sporting a PEG ratio of 1.18. 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. INGR's PEG compares to its industry's average PEG of 1.43. Within the past year, INGR's PEG has been as high as 1.19 and as low as 0.85, with a median of 1.05.
Finally, investors will want to recognize that INGR has a P/CF ratio of 10.38. 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. INGR's P/CF compares to its industry's average P/CF of 18. Within the past 12 months, INGR's P/CF has been as high as 10.45 and as low as 7.10, with a median of 8.67.
Value investors will likely look at more than just these metrics, but the above data helps show that Ingredion is likely undervalued currently. And when considering the strength of its earnings outlook, INGR sticks out at as one of the market's strongest value stocks.