Are You a Value Investor? This 1 Stock Could Be the Perfect Pick
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For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
Allstate (ALL)
Founded in 1931 and headquartered in Northbrook, IL, The Allstate Corporation is the third-largest property-casualty (P&C) insurer and the largest publicly-held personal lines carrier in the U.S. The company also provides a range of life insurance and investment products to its diverse customer base. It provides insurance products to approximately 16 million households through more than 12,000 exclusive agencies and financial specialists in the U.S. and Canada.
ALL sits at a Zacks Rank #2 (Buy), holds a Value Style Score of A, and has a VGM Score of A. Compared to the Insurance - Property and Casualty industry's P/E of 14.1X, shares of Allstate are trading at a forward P/E of 12.5X. ALL also has a PEG Ratio of 1.8, a Price/Cash Flow ratio of 49.2X, and a Price/Sales ratio of 0.9X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Nine analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $1.07 to $16.26 per share. ALL has an average earnings surprise of 135.2%.
Investors should take the time to consider ALL for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.
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The Allstate Corporation (ALL) : Free Stock Analysis Report