Yahoo Finance Should Value Investors Buy Repsol (REPYY) Stock?
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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Repsol (REPYY). REPYY is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 4.57, which compares to its industry's average of 8.12. Over the past 52 weeks, REPYY's Forward P/E has been as high as 5.83 and as low as 2.94, with a median of 4.08.
Investors should also note that REPYY holds a PEG ratio of 0.58. 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. REPYY's PEG compares to its industry's average PEG of 0.60. REPYY's PEG has been as high as 1.22 and as low as 0.12, with a median of 0.48, all within the past year.
Another notable valuation metric for REPYY is its P/B ratio of 0.88. 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 1.44. Over the past year, REPYY's P/B has been as high as 0.96 and as low as 0.61, with a median of 0.75.
Finally, we should also recognize that REPYY has a P/CF ratio of 3.62. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. REPYY's P/CF compares to its industry's average P/CF of 4.85. Over the past 52 weeks, REPYY's P/CF has been as high as 4.15 and as low as 2.37, with a median of 3.42.
Sasol (SSL) may be another strong Oil and Gas - Integrated - International stock to add to your shortlist. SSL is a # 1 (Strong Buy) stock with a Value grade of A.
Shares of Sasol are currently trading at a forward earnings multiple of 4.66 and a PEG ratio of 0.29 compared to its industry's P/E and PEG ratios of 8.12 and 0.60, respectively.
Over the past year, SSL's P/E has been as high as 6.18, as low as 3.98, with a median of 4.81; its PEG ratio has been as high as 0.43, as low as 0.24, with a median of 0.48 during the same time period.
Sasol sports a P/B ratio of 0.86 as well; this compares to its industry's price-to-book ratio of 1.44. In the past 52 weeks, SSL's P/B has been as high as 1.57, as low as 0.74, with a median of 1.07.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Repsol and Sasol are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, REPYY and SSL feels like a great value stock at the moment.
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Repsol SA (REPYY) : Free Stock Analysis Report
Sasol Ltd. (SSL) : Free Stock Analysis Report
