Yahoo Finance Is Chemours (CC) a Great Value Stock Right Now?
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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 company to watch right now is Chemours (CC). CC is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 6.28, while its industry has an average P/E of 10.80. Over the past year, CC's Forward P/E has been as high as 8.97 and as low as 5.02, with a median of 7.36.
CC is also sporting a PEG ratio of 0.43. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CC's PEG compares to its industry's average PEG of 0.69. Within the past year, CC's PEG has been as high as 0.69 and as low as 0.19, with a median of 0.31.
Finally, our model also underscores that CC has a P/CF ratio of 4.90. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 7.08. CC's P/CF has been as high as 10.05 and as low as 4.04, with a median of 6.26, all within the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Chemours is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CC feels like a great value stock at the moment.
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