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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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
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 stock to keep an eye on is China Resources Power Holdings (CRPJY). CRPJY is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 5.96. This compares to its industry's average Forward P/E of 16.55. Over the last 12 months, CRPJY's Forward P/E has been as high as 7.22 and as low as 4.50, with a median of 5.69.
Investors should also recognize that CRPJY has a P/B ratio of 0.87. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. CRPJY's current P/B looks attractive when compared to its industry's average P/B of 2.37. Over the past 12 months, CRPJY's P/B has been as high as 1.08 and as low as 0.68, with a median of 0.85.
Value investors will likely look at more than just these metrics, but the above data helps show that China Resources Power Holdings is likely undervalued currently. And when considering the strength of its earnings outlook, CRPJY sticks out at as one of the market's strongest value stocks.
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China Resources Power Holdings Co. (CRPJY) : Free Stock Analysis Report