For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
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
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Fremont, CA-based TD SYNNEX, founded in 1980, is a leading business process services company. The company was formerly known as SYNNEX Corporation. But it changed its name to TD SYNNEX in September 2021 following its merger with Tech Data Corporation.
SNX is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 8.9X for the current fiscal year compared to the Business - Software Services industry's P/E of 24.1X. Additionally, SNX has a PEG Ratio of 1 and a Price/Cash Flow ratio of 13.7X. Value investors should also note SNX's Price/Sales ratio of 0.2X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2022. The Zacks Consensus Estimate has increased $0.04 to $11.54 per share. SNX has an average earnings surprise of 6.8%.
SNX 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
TD SYNNEX Corp. (SNX) : Free Stock Analysis Report
To read this article on Zacks.com click here.