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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Meet Group . MEET is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
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. MEET has a P/S ratio of 1.65. This compares to its industry's average P/S of 3.81.
Finally, investors should note that MEET has a P/CF ratio of 14.07. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 46.73. Over the past year, MEET's P/CF has been as high as 31.11 and as low as -6.69, with a median of 13.66.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Meet Group is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, MEET feels like a great value stock at the moment.
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Are Investors Undervaluing Meet Group (MEET) 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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Meet Group . MEET is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
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. MEET has a P/S ratio of 1.65. This compares to its industry's average P/S of 3.81.
Finally, investors should note that MEET has a P/CF ratio of 14.07. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 46.73. Over the past year, MEET's P/CF has been as high as 31.11 and as low as -6.69, with a median of 13.66.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Meet Group is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, MEET feels like a great value stock at the moment.