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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system’s “Value” category. Stocks with both “A” grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is
BioNTech (BNTX)
. BNTX is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.
We should also highlight that BNTX has a P/B ratio of 2.10. The P/B is a method of comparing a stock’s market value to its book value, which is defined as total assets minus total liabilities. This stock’s P/B looks solid versus its industry’s average P/B of 3.46. Within the past 52 weeks, BNTX’s P/B has been as high as 6.06 and as low as 1.55, with a median of 2.19.
Finally, our model also underscores that BNTX has a P/CF ratio of 3.33. This data point considers a firm’s operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. BNTX’s P/CF compares to its industry’s average P/CF of 6.91. Over the past 52 weeks, BNTX’s P/CF has been as high as 7.42 and as low as 2.12, with a median of 2.92.
These figures are just a handful of the metrics value investors tend to look at, but they help show that BioNTech is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BNTX feels like a great value stock at the moment.
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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