Are Investors Undervaluing Lifetime Brands (LCUT) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company to watch right now is Lifetime Brands (LCUT). LCUT 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 5.24, which compares to its industry's average of 8.07. Over the last 12 months, LCUT's Forward P/E has been as high as 16.31 and as low as 4.74, with a median of 7.47.
Investors should also note that LCUT holds a PEG ratio of 0.37. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. LCUT's industry has an average PEG of 0.43 right now. LCUT's PEG has been as high as 1.17 and as low as 0.34, with a median of 0.53, all within the past year.
Finally, investors will want to recognize that LCUT has a P/CF ratio of 36.11. 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. LCUT's P/CF compares to its industry's average P/CF of 41.24. Over the past year, LCUT's P/CF has been as high as 52.72 and as low as 5.40, with a median of 17.81.
These are just a handful of the figures considered in Lifetime Brands'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 LCUT is an impressive value stock right now.
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Lifetime Brands, Inc. (LCUT) : Free Stock Analysis Report
