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Should Value Investors Buy American Woodmark (AMWD) Stock?
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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 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.
American Woodmark (AMWD - Free Report) is a stock many investors are watching right now. AMWD is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A.
We also note that AMWD holds a PEG ratio of 0.74. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. AMWD's industry currently sports an average PEG of 1.16. AMWD's PEG has been as high as 1.58 and as low as 0.51, with a median of 1.31, all within the past year.
Investors should also recognize that AMWD has a P/B ratio of 1.58. The P/B is a method of comparing a stock's market value to 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 4.09. AMWD's P/B has been as high as 2.88 and as low as 0.88, with a median of 2.27, over the past year.
Finally, investors should note that AMWD has a P/CF ratio of 6.33. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 12.71. Over the past year, AMWD's P/CF has been as high as 10.74 and as low as 3.31, with a median of 7.83.
These figures are just a handful of the metrics value investors tend to look at, but they help show that American Woodmark is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AMWD feels like a great value stock at the moment.
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Should Value Investors Buy American Woodmark (AMWD) Stock?
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 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.
American Woodmark (AMWD - Free Report) is a stock many investors are watching right now. AMWD is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A.
We also note that AMWD holds a PEG ratio of 0.74. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. AMWD's industry currently sports an average PEG of 1.16. AMWD's PEG has been as high as 1.58 and as low as 0.51, with a median of 1.31, all within the past year.
Investors should also recognize that AMWD has a P/B ratio of 1.58. The P/B is a method of comparing a stock's market value to 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 4.09. AMWD's P/B has been as high as 2.88 and as low as 0.88, with a median of 2.27, over the past year.
Finally, investors should note that AMWD has a P/CF ratio of 6.33. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 12.71. Over the past year, AMWD's P/CF has been as high as 10.74 and as low as 3.31, with a median of 7.83.
These figures are just a handful of the metrics value investors tend to look at, but they help show that American Woodmark is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AMWD feels like a great value stock at the moment.