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Is AXA Equitable Holdings, Inc. (EQH) Stock Undervalued Right Now?

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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.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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 company to watch right now is AXA Equitable Holdings, Inc. (EQH - Free Report) . EQH is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 4.99, which compares to its industry's average of 9.78. EQH's Forward P/E has been as high as 5.61 and as low as 3.81, with a median of 4.88, all within the past year.

Investors will also notice that EQH has a PEG ratio of 0.68. 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. EQH's PEG compares to its industry's average PEG of 1.16. Over the last 12 months, EQH's PEG has been as high as 0.72 and as low as 0.33, with a median of 0.60.

Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. EQH has a P/S ratio of 0.88. This compares to its industry's average P/S of 1.65.

These figures are just a handful of the metrics value investors tend to look at, but they help show that AXA Equitable Holdings, Inc. Is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, EQH feels like a great value stock at the moment.


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