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Are Investors Undervaluing Rush Enterprises (RUSHA) Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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 company to watch right now is Rush Enterprises (RUSHA - Free Report) . RUSHA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
Investors will also notice that RUSHA has a PEG ratio of 0.69. 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. RUSHA's industry currently sports an average PEG of 1.04. Over the past 52 weeks, RUSHA's PEG has been as high as 1.64 and as low as 0.69, with a median of 0.93.
Another valuation metric that we should highlight is RUSHA's P/B ratio of 1.36. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 1.42. RUSHA's P/B has been as high as 2.29 and as low as 1.36, with a median of 1.66, over the past year.
Finally, investors will want to recognize that RUSHA has a P/CF ratio of 4.10. 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. RUSHA's P/CF compares to its industry's average P/CF of 5.11. Within the past 12 months, RUSHA's P/CF has been as high as 9.40 and as low as 4.08, with a median of 5.23.
Value investors will likely look at more than just these metrics, but the above data helps show that Rush Enterprises is likely undervalued currently. And when considering the strength of its earnings outlook, RUSHA sticks out at as one of the market's strongest value stocks.
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Are Investors Undervaluing Rush Enterprises (RUSHA) Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 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 company to watch right now is Rush Enterprises (RUSHA - Free Report) . RUSHA is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
Investors will also notice that RUSHA has a PEG ratio of 0.69. 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. RUSHA's industry currently sports an average PEG of 1.04. Over the past 52 weeks, RUSHA's PEG has been as high as 1.64 and as low as 0.69, with a median of 0.93.
Another valuation metric that we should highlight is RUSHA's P/B ratio of 1.36. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 1.42. RUSHA's P/B has been as high as 2.29 and as low as 1.36, with a median of 1.66, over the past year.
Finally, investors will want to recognize that RUSHA has a P/CF ratio of 4.10. 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. RUSHA's P/CF compares to its industry's average P/CF of 5.11. Within the past 12 months, RUSHA's P/CF has been as high as 9.40 and as low as 4.08, with a median of 5.23.
Value investors will likely look at more than just these metrics, but the above data helps show that Rush Enterprises is likely undervalued currently. And when considering the strength of its earnings outlook, RUSHA sticks out at as one of the market's strongest value stocks.