Are Investors Undervaluing Ageas (AGESY) 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, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 Ageas (AGESY). AGESY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock holds a P/E ratio of 5.43, while its industry has an average P/E of 8.52. AGESY's Forward P/E has been as high as 10.05 and as low as 5.42, with a median of 7.34, all within the past year.
We also note that AGESY holds a PEG ratio of 0.33. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. AGESY's industry currently sports an average PEG of 0.75. AGESY's PEG has been as high as 1.04 and as low as 0.33, with a median of 0.79, all within the past year.
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 prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. AGESY has a P/S ratio of 0.6. This compares to its industry's average P/S of 0.68.
Radian Group (RDN) may be another strong Insurance - Multi line stock to add to your shortlist. RDN is a # 2 (Buy) stock with a Value grade of A.
Shares of Radian Group currently holds a Forward P/E ratio of 7.67, and its PEG ratio is 1.53. In comparison, its industry sports average P/E and PEG ratios of 8.52 and 0.75.
Over the past year, RDN's P/E has been as high as 8.18, as low as 4.04, with a median of 6.53; its PEG ratio has been as high as 1.64, as low as 0.81, with a median of 0.79 during the same time period.
Radian Group sports a P/B ratio of 0.95 as well; this compares to its industry's price-to-book ratio of 2.20. In the past 52 weeks, RDN's P/B has been as high as 1.03, as low as 0.75, with a median of 0.89.
These are only a few of the key metrics included in Ageas and Radian Group strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, AGESY and RDN look like an impressive value stock at the moment.
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Ageas SA (AGESY) : Free Stock Analysis Report
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