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Is Ntt Data Corporation (NTDTY) a Great Value Stock Right Now?

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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore 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 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 value investors might notice is Ntt Data Corporation (NTDTY - Free Report) . NTDTY is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.

We also note that NTDTY holds a PEG ratio of 2.67. 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. NTDTY's PEG compares to its industry's average PEG of 4. Over the past 52 weeks, NTDTY's PEG has been as high as 2.67 and as low as 2.01, with a median of 2.02.

Investors should also recognize that NTDTY has a P/B ratio of 1.65. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 4.70. Over the past year, NTDTY's P/B has been as high as 2.25 and as low as 1.20, with a median of 2.07.

Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. NTDTY has a P/S ratio of 0.76. This compares to its industry's average P/S of 1.58.

These are just a handful of the figures considered in Ntt Data Corporation's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that NTDTY is an impressive value stock right now.


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