Here's Why Liberty Oilfield Services (LBRT) is a Strong Value Stock
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Liberty Oilfield Services (LBRT)
Liberty Energy (previously Liberty Oilfield Services) is a premier provider of hydraulic fracturing and other auxiliary services to onshore exploration and production (E&P) companies in North America. Hydraulic fracturing is a method used to extract oil and natural gas by blasting underground rock formations with a mixture of water, sand and chemicals.
LBRT boasts a Value Style Score of A and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Shares of Liberty Oilfield Services are trading at a forward earnings multiple of 3.7X, as well as a PEG Ratio of 0.6, a Price/Cash Flow ratio of 3.2X, and a Price/Sales ratio of 0.5X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Six analysts revised their earnings estimate upwards in the last 60 days for fiscal 2023. The Zacks Consensus Estimate has increased $0.07 to $3.50 per share. LBRT has an average earnings surprise of 64.3%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding LBRT to their portfolios.
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Liberty Energy Inc. (LBRT) : Free Stock Analysis Report
