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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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One company value investors might notice is Bassett Furniture (BSET). BSET is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 10.79, which compares to its industry's average of 15.45. Over the last 12 months, BSET's Forward P/E has been as high as 19.73 and as low as -36.09, with a median of 14.64.
Another notable valuation metric for BSET is its P/B ratio of 1.43. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 3.41. Within the past 52 weeks, BSET's P/B has been as high as 2.26 and as low as 0.60, with a median of 1.37.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. BSET has a P/S ratio of 0.46. This compares to its industry's average P/S of 0.75.
Finally, our model also underscores that BSET has a P/CF ratio of 7.33. 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. BSET's P/CF compares to its industry's average P/CF of 19.71. Within the past 12 months, BSET's P/CF has been as high as 47.89 and as low as -37.92, with a median of 9.60.
These are just a handful of the figures considered in Bassett Furniture'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 BSET is an impressive value stock right now.
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Bassett Furniture Industries, Incorporated (BSET) : Free Stock Analysis Report
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