Yahoo Finance Is Crawford United (CRAWA) Stock Undervalued Right Now? (Revised)
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
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 company value investors might notice is Crawford United (CRAWA). CRAWA is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 10.64 right now. For comparison, its industry sports an average P/E of 17.60. Over the past 52 weeks, CRAWA's Forward P/E has been as high as 11.90 and as low as 6.61, with a median of 8.40.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. CRAWA has a P/S ratio of 0.57. This compares to its industry's average P/S of 1.55.
Finally, our model also underscores that CRAWA has a P/CF ratio of 5.35. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 18.41. Over the past year, CRAWA's P/CF has been as high as 12.68 and as low as 3.92, with a median of 7.46.
If you're looking for another solid Manufacturing - General Industrial value stock, take a look at DXP Enterprises (DXPE). DXPE is a # 3 (Hold) stock with a Value score of A.
Furthermore, DXP Enterprises holds a P/B ratio of 1.55 and its industry's price-to-book ratio is 5.09. DXPE's P/B has been as high as 1.72, as low as 1.15, with a median of 1.40 over the past 12 months.
Value investors will likely look at more than just these metrics, but the above data helps show that Crawford United and DXP Enterprises are likely undervalued currently. And when considering the strength of its earnings outlook, CRAWA and DXPE sticks out as one of the market's strongest value stocks.
(We are reissuing this article to correct a mistake. The original article, issued on May 22, 2023, should no longer be relied upon.)
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DXP Enterprises, Inc. (DXPE) : Free Stock Analysis Report
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