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Is Tecnoglass (TGLS) a Great Value Stock Right Now?

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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 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.

One stock to keep an eye on is Tecnoglass (TGLS - Free Report) . TGLS is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 13.09, while its industry has an average P/E of 19.57. Over the past year, TGLS's Forward P/E has been as high as 17.76 and as low as 11.21, with a median of 13.90.

TGLS is also sporting a PEG ratio of 0.65. 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. TGLS's PEG compares to its industry's average PEG of 1.37. Within the past year, TGLS's PEG has been as high as 0.89 and as low as 0.56, with a median of 0.70.

Finally, we should also recognize that TGLS has a P/CF ratio of 9.13. 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 stock's P/CF looks attractive against its industry's average P/CF of 15.73. Over the past year, TGLS's P/CF has been as high as 24.34 and as low as 7.70, with a median of 9.08.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Tecnoglass is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, TGLS feels like a great value stock at the moment.


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