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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 Alpine Income Property Trust (PINE). PINE is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 8.1 right now. For comparison, its industry sports an average P/E of 16.02. Over the past year, PINE's Forward P/E has been as high as 11.05 and as low as 7.94, with a median of 9.27.
Investors should also note that PINE holds a PEG ratio of 1.35. 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. PINE's industry currently sports an average PEG of 2.01. Over the past 52 weeks, PINE's PEG has been as high as 1.84 and as low as 1.32, with a median of 1.55.
We should also highlight that PINE has a P/B ratio of 0.81. 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 1.86. Within the past 52 weeks, PINE's P/B has been as high as 0.97 and as low as 0.78, with a median of 0.87.
Value investors also use the P/S ratio. The P/S ratio is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. PINE has a P/S ratio of 3.58. This compares to its industry's average P/S of 3.65.
Finally, our model also underscores that PINE has a P/CF ratio of 8.46. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. PINE's P/CF compares to its industry's average P/CF of 15.69. Within the past 12 months, PINE's P/CF has been as high as 10.77 and as low as 8.16, with a median of 8.99.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Alpine Income Property Trust is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, PINE feels like a great value stock at the moment.
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Alpine Income Property Trust, Inc. (PINE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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