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Are Investors Undervaluing Centrus Energy (LEU) Right Now? August 29, 2024
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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, 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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Centrus Energy (LEU - Free Report) . LEU is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 13.07, which compares to its industry's average of 21.19. Over the past 52 weeks, LEU's Forward P/E has been as high as 25.32 and as low as 12.19, with a median of 18.24.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. LEU has a P/S ratio of 1.6. This compares to its industry's average P/S of 2.55.
Finally, we should also recognize that LEU has a P/CF ratio of 6.53. 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. LEU's current P/CF looks attractive when compared to its industry's average P/CF of 17.81. Within the past 12 months, LEU's P/CF has been as high as 21.70 and as low as 5.95, with a median of 8.95.
These are only a few of the key metrics included in Centrus Energy's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, LEU looks like an impressive value stock at the moment.
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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, 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 use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Centrus Energy (LEU - Free Report) . LEU is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 13.07, which compares to its industry's average of 21.19. Over the past 52 weeks, LEU's Forward P/E has been as high as 25.32 and as low as 12.19, with a median of 18.24.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. LEU has a P/S ratio of 1.6. This compares to its industry's average P/S of 2.55.
Finally, we should also recognize that LEU has a P/CF ratio of 6.53. 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. LEU's current P/CF looks attractive when compared to its industry's average P/CF of 17.81. Within the past 12 months, LEU's P/CF has been as high as 21.70 and as low as 5.95, with a median of 8.95.
These are only a few of the key metrics included in Centrus Energy's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, LEU looks like an impressive value stock at the moment.