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Are Investors Undervaluing American Outdoor Brands (AOUT) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 American Outdoor Brands (AOUT - Free Report) . AOUT is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock has a Forward P/E ratio of 15.18. This compares to its industry's average Forward P/E of 29.61. Over the last 12 months, AOUT's Forward P/E has been as high as 22.50 and as low as 11.96, with a median of 14.84.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. AOUT has a P/S ratio of 0.6. This compares to its industry's average P/S of 0.96.
Finally, investors will want to recognize that AOUT has a P/CF ratio of 24.06. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 33.19. Over the past year, AOUT's P/CF has been as high as 31.98 and as low as 17.70, with a median of 22.04.
Value investors will likely look at more than just these metrics, but the above data helps show that American Outdoor Brands is likely undervalued currently. And when considering the strength of its earnings outlook, AOUT sticks out at as one of the market's strongest value stocks.
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Are Investors Undervaluing American Outdoor Brands (AOUT) 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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 American Outdoor Brands (AOUT - Free Report) . AOUT is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock has a Forward P/E ratio of 15.18. This compares to its industry's average Forward P/E of 29.61. Over the last 12 months, AOUT's Forward P/E has been as high as 22.50 and as low as 11.96, with a median of 14.84.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. AOUT has a P/S ratio of 0.6. This compares to its industry's average P/S of 0.96.
Finally, investors will want to recognize that AOUT has a P/CF ratio of 24.06. 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 company's current P/CF looks solid when compared to its industry's average P/CF of 33.19. Over the past year, AOUT's P/CF has been as high as 31.98 and as low as 17.70, with a median of 22.04.
Value investors will likely look at more than just these metrics, but the above data helps show that American Outdoor Brands is likely undervalued currently. And when considering the strength of its earnings outlook, AOUT sticks out at as one of the market's strongest value stocks.