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Why This 1 Value Stock Could Be a Great Addition to Your Portfolio

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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.

While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.

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.

Paramount Global-B (PARA)

Paramount Global is a global media, streaming and entertainment provider offering content through well-known brands, including CBS, Showtime Networks, Paramount Pictures, Nickelodeon, MTV, Comedy Central, BET, Paramount+ and Pluto TV. It also operates Paramount Pictures.

PARA boasts a Value Style Score of A and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Shares of Paramount Global-B are trading at a forward earnings multiple of 7.1X, as well as a PEG Ratio of 1.6, a Price/Cash Flow ratio of 0.5X, and a Price/Sales ratio of 0.3X.

Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Five analysts revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $0.10 to $1.64 per share. PARA has an average earnings surprise of 65.6%.

PARA should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.

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This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research