Should Value Investors Buy Fluent (FLNT) Stock?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One company to watch right now is Fluent (FLNT). FLNT is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value. The stock is trading with P/E ratio of 5.19 right now. For comparison, its industry sports an average P/E of 9.19. Over the last 12 months, FLNT's Forward P/E has been as high as 11,761.31 and as low as -1,403.11, with a median of 12.56.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. FLNT has a P/S ratio of 0.17. This compares to its industry's average P/S of 0.49.
Value investors will likely look at more than just these metrics, but the above data helps show that Fluent is likely undervalued currently. And when considering the strength of its earnings outlook, FLNT sticks out at as one of the market's strongest value stocks.
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FLUENT, INC. (FLNT) : Free Stock Analysis Report
