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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. 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 to watch right now is Nexa Resources (NEXA). NEXA is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 16.53, while its industry has an average P/E of 17.09. Over the past year, NEXA's Forward P/E has been as high as 21.50 and as low as -113.19, with a median of 11.97.
Investors will also notice that NEXA has a PEG ratio of 0.71. 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. NEXA's industry has an average PEG of 1.05 right now. NEXA's PEG has been as high as 0.76 and as low as 0.11, with a median of 0.39, all within the past year.
These are just a handful of the figures considered in Nexa Resources'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 NEXA is an impressive value stock right now.
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Nexa Resources S.A. (NEXA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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