Is Jeronimo Martins SGPS (JRONY) a Great Value Stock 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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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 stock to keep an eye on is Jeronimo Martins SGPS (JRONY). JRONY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 17.52, while its industry has an average P/E of 22.09. Over the past year, JRONY's Forward P/E has been as high as 22.26 and as low as 16.80, with a median of 19.67.
Investors will also notice that JRONY has a PEG ratio of 1.35. 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. JRONY's industry has an average PEG of 3.45 right now. Over the last 12 months, JRONY's PEG has been as high as 1.86 and as low as 1.17, with a median of 1.42.
Finally, investors will want to recognize that JRONY has a P/CF ratio of 11.01. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 16.27. Over the past year, JRONY's P/CF has been as high as 12.46 and as low as 7.80, with a median of 9.71.
Another great Retail - Supermarkets stock you could consider is The Kroger Co. (KR), which is a # 2 (Buy) stock with a Value Score of A.
Shares of The Kroger Co. currently holds a Forward P/E ratio of 10.79, and its PEG ratio is 1.88. In comparison, its industry sports average P/E and PEG ratios of 22.09 and 3.45.
Over the last 12 months, KR's P/E has been as high as 12.79, as low as 9.90, with a median of 10.79, and its PEG ratio has been as high as 1.92, as low as 0.87, with a median of 1.74.
The Kroger Co. also has a P/B ratio of 3.20 compared to its industry's price-to-book ratio of 4.48. Over the past year, its P/B ratio has been as high as 3.86, as low as 2.95, with a median of 3.27.
These are just a handful of the figures considered in Jeronimo Martins SGPS and The Kroger Co.'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 JRONY and KR is an impressive value stock right now.
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Jeronimo Martins SGPS SA (JRONY) : Free Stock Analysis Report
The Kroger Co. (KR) : Free Stock Analysis Report
