We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Should Value Investors Buy Atkore International Group Inc. (ATKR) Stock?
Read MoreHide Full Article
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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 Atkore International Group Inc. (ATKR - Free Report) . ATKR 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 6.80, while its industry has an average P/E of 7.68. Over the last 12 months, ATKR's Forward P/E has been as high as 10.11 and as low as 5.72, with a median of 8.43.
We also note that ATKR holds a PEG ratio of 0.65. 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. ATKR's industry has an average PEG of 0.77 right now. ATKR's PEG has been as high as 1.01 and as low as 0.60, with a median of 0.87, all within the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. ATKR has a P/S ratio of 0.55. This compares to its industry's average P/S of 0.7.
Finally, investors should note that ATKR has a P/CF ratio of 5.29. 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. ATKR's current P/CF looks attractive when compared to its industry's average P/CF of 6.65. Over the past year, ATKR's P/CF has been as high as 8.91 and as low as 4.12, with a median of 5.65.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Atkore International Group Inc. Is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ATKR feels like a great value stock at the moment.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Should Value Investors Buy Atkore International Group Inc. (ATKR) Stock?
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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 Atkore International Group Inc. (ATKR - Free Report) . ATKR 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 6.80, while its industry has an average P/E of 7.68. Over the last 12 months, ATKR's Forward P/E has been as high as 10.11 and as low as 5.72, with a median of 8.43.
We also note that ATKR holds a PEG ratio of 0.65. 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. ATKR's industry has an average PEG of 0.77 right now. ATKR's PEG has been as high as 1.01 and as low as 0.60, with a median of 0.87, all within the past year.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. ATKR has a P/S ratio of 0.55. This compares to its industry's average P/S of 0.7.
Finally, investors should note that ATKR has a P/CF ratio of 5.29. 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. ATKR's current P/CF looks attractive when compared to its industry's average P/CF of 6.65. Over the past year, ATKR's P/CF has been as high as 8.91 and as low as 4.12, with a median of 5.65.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Atkore International Group Inc. Is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ATKR feels like a great value stock at the moment.