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Are Investors Undervaluing Atkore International Group Inc. (ATKR) Right Now?
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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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Atkore International Group Inc. (ATKR - Free Report) is a stock many investors are watching right now. ATKR is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 7.16, which compares to its industry's average of 7.31. Over the past year, ATKR's Forward P/E has been as high as 10.11 and as low as 5.72, with a median of 7.24.
Investors will also notice that ATKR has a PEG ratio of 0.65. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ATKR's industry currently sports an average PEG of 0.73. Within the past year, ATKR's PEG has been as high as 1.01 and as low as 0.60, with a median of 0.87.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. ATKR has a P/S ratio of 0.62. This compares to its industry's average P/S of 0.7.
Finally, investors should note that ATKR has a P/CF ratio of 6.02. 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 6.07. ATKR's P/CF has been as high as 7.19 and as low as 4.12, with a median of 5.65, all within the past year.
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.
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Are Investors Undervaluing Atkore International Group Inc. (ATKR) Right Now?
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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
Atkore International Group Inc. (ATKR - Free Report) is a stock many investors are watching right now. ATKR is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 7.16, which compares to its industry's average of 7.31. Over the past year, ATKR's Forward P/E has been as high as 10.11 and as low as 5.72, with a median of 7.24.
Investors will also notice that ATKR has a PEG ratio of 0.65. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ATKR's industry currently sports an average PEG of 0.73. Within the past year, ATKR's PEG has been as high as 1.01 and as low as 0.60, with a median of 0.87.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. ATKR has a P/S ratio of 0.62. This compares to its industry's average P/S of 0.7.
Finally, investors should note that ATKR has a P/CF ratio of 6.02. 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 6.07. ATKR's P/CF has been as high as 7.19 and as low as 4.12, with a median of 5.65, all within the past year.
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.