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Should Value Investors Buy General Mills (GIS) Stock?
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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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader 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.
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.
General Mills (GIS - Free Report) is a stock many investors are watching right now. GIS is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 13.98, which compares to its industry's average of 16.44. GIS's Forward P/E has been as high as 17.66 and as low as 11.53, with a median of 13.98, all within the past year.
We also note that GIS holds a PEG ratio of 1.93. 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. GIS's PEG compares to its industry's average PEG of 2.05. Within the past year, GIS's PEG has been as high as 2.43 and as low as 1.49, with a median of 1.80.
These figures are just a handful of the metrics value investors tend to look at, but they help show that General Mills is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, GIS feels like a great value stock at the moment.
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Should Value Investors Buy General Mills (GIS) Stock?
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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader 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.
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.
General Mills (GIS - Free Report) is a stock many investors are watching right now. GIS is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 13.98, which compares to its industry's average of 16.44. GIS's Forward P/E has been as high as 17.66 and as low as 11.53, with a median of 13.98, all within the past year.
We also note that GIS holds a PEG ratio of 1.93. 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. GIS's PEG compares to its industry's average PEG of 2.05. Within the past year, GIS's PEG has been as high as 2.43 and as low as 1.49, with a median of 1.80.
These figures are just a handful of the metrics value investors tend to look at, but they help show that General Mills is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, GIS feels like a great value stock at the moment.