Should Value Investors Buy Harbour Energy (HBRIY) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Harbour Energy (HBRIY). HBRIY is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 5.69 right now. For comparison, its industry sports an average P/E of 6.11. Over the past 52 weeks, HBRIY's Forward P/E has been as high as 8.99 and as low as 2.22, with a median of 5.86.
We should also highlight that HBRIY has a P/B ratio of 1.70. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 2.38. Over the past 12 months, HBRIY's P/B has been as high as 3.31 and as low as -5.23, with a median of 1.83.
If you're looking for another solid Oil and Gas - Exploration and Production - International value stock, take a look at Vermilion Energy (VET). VET is a # 1 (Strong Buy) stock with a Value score of A.
Additionally, Vermilion Energy has a P/B ratio of 0.87 while its industry's price-to-book ratio sits at 2.38. For VET, this valuation metric has been as high as 1.82, as low as 0.63, with a median of 0.83 over the past year.
These are just a handful of the figures considered in Harbour Energy and Vermilion Energy's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that HBRIY and VET is an impressive value stock right now.
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Harbour Energy PLC Sponsored ADR (HBRIY) : Free Stock Analysis Report
Vermilion Energy Inc. (VET) : Free Stock Analysis Report
