Is James River Group (JRVR) Stock Undervalued 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.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company value investors might notice is James River Group (JRVR). JRVR is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
Another notable valuation metric for JRVR is its P/B ratio of 1.32. 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 2.52. Within the past 52 weeks, JRVR's P/B has been as high as 1.83 and as low as 1.29, with a median of 1.50.
Finally, our model also underscores that JRVR has a P/CF ratio of 6.09. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. JRVR's P/CF compares to its industry's average P/CF of 6.23. JRVR's P/CF has been as high as 482.57 and as low as 6.09, with a median of 44.36, all within the past year.
These are only a few of the key metrics included in James River Group's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, JRVR looks like an impressive value stock at the moment.
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James River Group Holdings, Ltd. (JRVR) : Free Stock Analysis Report
