Patterson Cos. (PDCO) is a Top-Ranked Value Stock: Should You Buy?
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
Patterson Cos. (PDCO)
St. Paul, MN-headquartered Patterson Companies Inc. is a value-added specialty distributor of dental and animal health products in the United States, Canada. It supplies only animal health products in the United Kingdom.
PDCO sits at a Zacks Rank #1 (Strong Buy), holds a Value Style Score of B, and has a VGM Score of B. Compared to the Medical - Dental Supplies industry's P/E of 21.4X, shares of Patterson Cos. are trading at a forward P/E of 12.8X. PDCO also has a PEG Ratio of 1.4, a Price/Cash Flow ratio of 9.8X, and a Price/Sales ratio of 0.5X.
A company's earnings performance is important for value investors as well. For fiscal 2024, eight analysts revised their earnings estimate higher in the last 60 days for PDCO, while the Zacks Consensus Estimate has increased $0.16 to $2.50 per share. PDCO also holds an average earnings surprise of 4.5%.
PDCO should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Patterson Companies, Inc. (PDCO) : Free Stock Analysis Report
