Is Modine Manufacturing (MOD) 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.
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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 to watch right now is Modine Manufacturing (MOD). MOD is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 13.15 right now. For comparison, its industry sports an average P/E of 19.19. Over the past 52 weeks, MOD's Forward P/E has been as high as 18.55 and as low as 7.35, with a median of 10.20.
Investors will also notice that MOD has a PEG ratio of 0.53. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. MOD's PEG compares to its industry's average PEG of 0.87. Over the last 12 months, MOD's PEG has been as high as 0.74 and as low as 0.29, with a median of 0.41.
Finally, our model also underscores that MOD has a P/CF ratio of 9.07. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. MOD's current P/CF looks attractive when compared to its industry's average P/CF of 26.79. Within the past 12 months, MOD's P/CF has been as high as 11.38 and as low as 4.35, with a median of 8.32.
These are just a handful of the figures considered in Modine Manufacturing'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 MOD is an impressive value stock right now.
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Modine Manufacturing Company (MOD) : Free Stock Analysis Report
