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Is Tecnoglass (TGLS) a Great Value Stock 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.

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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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.

Tecnoglass (TGLS - Free Report) is a stock many investors are watching right now. TGLS is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock holds a P/E ratio of 12.40, while its industry has an average P/E of 17.66. Over the last 12 months, TGLS's Forward P/E has been as high as 17.76 and as low as 10.92, with a median of 13.71.

We also note that TGLS holds a PEG ratio of 0.62. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. TGLS's industry has an average PEG of 1.29 right now. Over the past 52 weeks, TGLS's PEG has been as high as 0.89 and as low as 0.55, with a median of 0.69.

Finally, investors should note that TGLS has a P/CF ratio of 8.34. 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. TGLS's P/CF compares to its industry's average P/CF of 13.70. Over the past year, TGLS's P/CF has been as high as 12.94 and as low as 7.34, with a median of 9.13.

These are just a handful of the figures considered in Tecnoglass'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 TGLS is an impressive value stock right now.


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