Here's Why Terex (TEX) is a Strong Value Stock
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
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.
Terex (TEX)
Incorporated in 1986, Terex Corporation is a global manufacturer of aerial work platforms, materials processing machinery and cranes. It designs, build and support products used in construction, maintenance, manufacturing, energy, minerals and materials management applications.
TEX is a Zacks Rank #1 (Strong Buy) stock, with a Value Style Score of B and VGM Score of B. Shares are currently trading at a forward P/E of 8.4X for the current fiscal year compared to the Manufacturing - Construction and Mining industry's P/E of 10.5X. Additionally, TEX has a PEG Ratio of 0.5 and a Price/Cash Flow ratio of 11.4X. Value investors should also note TEX's Price/Sales ratio of 0.8X.
A company's earnings performance is important for value investors as well. For fiscal 2023, seven analysts revised their earnings estimate higher in the last 60 days for TEX, while the Zacks Consensus Estimate has increased $1.01 to $6.95 per share. TEX also holds an average earnings surprise of 32.8%.
TEX should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Terex Corporation (TEX) : Free Stock Analysis Report
