Yahoo Finance Is Marubeni (MARUY) Stock Undervalued Right Now?
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company value investors might notice is Marubeni (MARUY). MARUY is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 9.11, which compares to its industry's average of 20.82. Over the past 52 weeks, MARUY's Forward P/E has been as high as 10.31 and as low as 5.39, with a median of 8.73.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's 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. MARUY has a P/S ratio of 0.55. This compares to its industry's average P/S of 0.94.
Finally, investors will want to recognize that MARUY has a P/CF ratio of 6.54. 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. MARUY's current P/CF looks attractive when compared to its industry's average P/CF of 17.27. Within the past 12 months, MARUY's P/CF has been as high as 6.61 and as low as 4.03, with a median of 5.74.
If you're looking for another solid Diversified Operations value stock, take a look at Sumitomo (SSUMY). SSUMY is a # 2 (Buy) stock with a Value score of A.
Sumitomo is trading at a forward earnings multiple of 9.10 at the moment, with a PEG ratio of 0.19. This compares to its industry's average P/E of 20.82 and average PEG ratio of 1.81.
SSUMY's Forward P/E has been as high as 9.10 and as low as 5.11, with a median of 7.91. During the same time period, its PEG ratio has been as high as 0.20, as low as 0.11, with a median of 0.17.
Furthermore, Sumitomo holds a P/B ratio of 0.93 and its industry's price-to-book ratio is 3.90. SSUMY's P/B has been as high as 0.93, as low as 0.71, with a median of 0.85 over the past 12 months.
These are only a few of the key metrics included in Marubeni and Sumitomo strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, MARUY and SSUMY look like an impressive value stock at the moment.
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Marubeni Corp. (MARUY) : Free Stock Analysis Report
Sumitomo Corp. (SSUMY) : Free Stock Analysis Report
