Is Hancock Whitney (HWC) Stock Undervalued Right Now?
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.
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 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 Hancock Whitney (HWC). HWC is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock has a Forward P/E ratio of 8.03. This compares to its industry's average Forward P/E of 8.79. HWC's Forward P/E has been as high as 11.16 and as low as 7.34, with a median of 8.57, all within the past year.
Another notable valuation metric for HWC is its P/B ratio of 1.29. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 1.91. Within the past 52 weeks, HWC's P/B has been as high as 1.52 and as low as 1.09, with a median of 1.27.
Finally, our model also underscores that HWC has a P/CF ratio of 6.92. 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 12.13. Over the past 52 weeks, HWC's P/CF has been as high as 8.83 and as low as 6.05, with a median of 7.39.
These are just a handful of the figures considered in Hancock Whitney'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 HWC is an impressive value stock right now.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Hancock Whitney Corporation (HWC) : Free Stock Analysis Report
