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.
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.
RPM International (RPM)
RPM International Inc., through its subsidiaries, manufacture and market high-performance coatings, sealants and specialty chemicals, primarily for maintenance and improvement applications.
RPM is a Zacks Rank #2 (Buy) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 19.2X for the current fiscal year compared to the Paints and Related Products industry's P/E of 23X. Additionally, RPM has a PEG Ratio of 1.4 and a Price/Cash Flow ratio of 16.5X. Value investors should also note RPM's Price/Sales ratio of 1.7X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.40 to $4.96 per share. RPM has an average earnings surprise of 10.2%.
RPM 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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RPM International Inc. (RPM) : Free Stock Analysis Report
