Are You a Value Investor? This 1 Stock Could Be the Perfect Pick

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.

Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.

Why Investors Should Pay Attention to This Value Stock

Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.

Genuine Parts (GPC)

Atlanta-based Genuine Parts distributes automotive and industrial replacement parts and materials. As of Dec 31, 2021, the company had a network of more than 10,000 locations across 15 countries and network of more than 10,000 locations in 15 countries and employed approximately 52,000 people worldwide.

GPC sits at a Zacks Rank #2 (Buy), holds a Value Style Score of B, and has a VGM Score of A. Compared to the Automotive - Replacement Parts industry's P/E of 17.4X, shares of Genuine Parts are trading at a forward P/E of 17.3X. GPC also has a PEG Ratio of 3.1, a Price/Cash Flow ratio of 15X, and a Price/Sales ratio of 1X.

A company's earnings performance is important for value investors as well. For fiscal 2022, seven analysts revised their earnings estimate higher in the last 60 days for GPC, while the Zacks Consensus Estimate has increased $0.23 to $7.85 per share. GPC also holds an average earnings surprise of 11.3%.

With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding GPC to their portfolios.

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