Yahoo Finance Should Value Investors Buy Ardmore Shipping (ASC) Stock?
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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One company to watch right now is Ardmore Shipping (ASC). ASC is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.
We should also highlight that ASC has a P/B ratio of 1.20. 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 solid versus its industry's average P/B of 1.43. ASC's P/B has been as high as 1.39 and as low as 0.96, with a median of 1.12, over the past year.
Finally, investors should note that ASC has a P/CF ratio of 4.44. 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 7.52. Within the past 12 months, ASC's P/CF has been as high as 4.74 and as low as 2.19, with a median of 3.10.
Another great Transportation - Shipping stock you could consider is Navios Maritime Partners (NMM), which is a # 2 (Buy) stock with a Value Score of A.
Navios Maritime Partners sports a P/B ratio of 0.47 as well; this compares to its industry's price-to-book ratio of 1.43. In the past 52 weeks, NMM's P/B has been as high as 0.49, as low as 0.24, with a median of 0.28.
These are just a handful of the figures considered in Ardmore Shipping and Navios Maritime Partners'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 ASC and NMM is an impressive value stock right now.
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Ardmore Shipping Corporation (ASC) : Free Stock Analysis Report
Navios Maritime Partners LP (NMM) : Free Stock Analysis Report
