Is Casey's General Stores (CASY) Stock Undervalued Right Now?
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, 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 use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 stock to keep an eye on is Casey's General Stores (CASY). CASY is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
Investors should also recognize that CASY has a P/B ratio of 3.82. 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. CASY's current P/B looks attractive when compared to its industry's average P/B of 3.95. CASY's P/B has been as high as 3.82 and as low as 2.94, with a median of 3.32, over the past year.
Finally, investors will want to recognize that CASY has a P/CF ratio of 13.59. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 13.92. CASY's P/CF has been as high as 13.59 and as low as 10.12, with a median of 11.70, all within the past year.
These are just a handful of the figures considered in Casey's General Stores'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 CASY is an impressive value stock right now.
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Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report
