Yahoo Finance Is Stride (LRN) a Great Value Stock Right Now?
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.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company to watch right now is Stride (LRN). LRN is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 12.52, while its industry has an average P/E of 21.32. Over the past 52 weeks, LRN's Forward P/E has been as high as 15.68 and as low as 11.76, with a median of 13.33.
Investors should also note that LRN holds a PEG ratio of 0.63. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. LRN's PEG compares to its industry's average PEG of 0.74. Within the past year, LRN's PEG has been as high as 0.78 and as low as 0.59, with a median of 0.67.
Another valuation metric that we should highlight is LRN's P/B ratio of 2.44. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 3.65. LRN's P/B has been as high as 2.79 and as low as 1.63, with a median of 2.06, over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Stride is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, LRN feels like a great value stock at the moment.
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Stride, Inc. (LRN) : Free Stock Analysis Report
