Back to top

Image: Bigstock

Should Value Investors Buy Marks and Spencer Group (MAKSY) Stock?

Read MoreHide Full Article

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.

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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

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.

One company to watch right now is Marks and Spencer Group (MAKSY - Free Report) . MAKSY is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 14.36, which compares to its industry's average of 28.35. Over the last 12 months, MAKSY's Forward P/E has been as high as 15.50 and as low as 9.19, with a median of 11.68.

Investors should also recognize that MAKSY has a P/B ratio of 2.95. The P/B is a method of comparing a stock's market value to 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 7.17. MAKSY's P/B has been as high as 2.98 and as low as 1.43, with a median of 1.86, over the past year.

These are just a handful of the figures considered in Marks and Spencer Group'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 MAKSY is an impressive value stock right now.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Marks and Spencer Group PLC (MAKSY) - free report >>

Published in