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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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
Sysco (SYY - Free Report) is a stock many investors are watching right now. SYY is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 16.56. This compares to its industry's average Forward P/E of 16.79. Over the past 52 weeks, SYY's Forward P/E has been as high as 17.98 and as low as 14.22, with a median of 16.32.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. SYY has a P/S ratio of 0.49. This compares to its industry's average P/S of 0.96.
Finally, we should also recognize that SYY has a P/CF ratio of 13. 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 18.14. Over the past year, SYY's P/CF has been as high as 13.97 and as low as 11.58, with a median of 12.59.
Value investors will likely look at more than just these metrics, but the above data helps show that Sysco is likely undervalued currently. And when considering the strength of its earnings outlook, SYY sticks out at as one of the market's strongest value stocks.
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Is Sysco (SYY) a Great Value Stock Right Now?
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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
Sysco (SYY - Free Report) is a stock many investors are watching right now. SYY is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 16.56. This compares to its industry's average Forward P/E of 16.79. Over the past 52 weeks, SYY's Forward P/E has been as high as 17.98 and as low as 14.22, with a median of 16.32.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. SYY has a P/S ratio of 0.49. This compares to its industry's average P/S of 0.96.
Finally, we should also recognize that SYY has a P/CF ratio of 13. 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 18.14. Over the past year, SYY's P/CF has been as high as 13.97 and as low as 11.58, with a median of 12.59.
Value investors will likely look at more than just these metrics, but the above data helps show that Sysco is likely undervalued currently. And when considering the strength of its earnings outlook, SYY sticks out at as one of the market's strongest value stocks.