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Are Investors Undervaluing Jazz Pharmaceuticals (JAZZ) Right Now?
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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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is Jazz Pharmaceuticals (JAZZ - Free Report) . JAZZ is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
JAZZ is also sporting a PEG ratio of 1.10. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. JAZZ's industry has an average PEG of 2.44 right now. Over the last 12 months, JAZZ's PEG has been as high as 1.44 and as low as 0.64, with a median of 1.05.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. JAZZ has a P/S ratio of 1.83. This compares to its industry's average P/S of 3.42.
Finally, investors will want to recognize that JAZZ has a P/CF ratio of 6.07. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. JAZZ's current P/CF looks attractive when compared to its industry's average P/CF of 11.35. Over the past 52 weeks, JAZZ's P/CF has been as high as 13.77 and as low as 5.21, with a median of 7.26.
These are just a handful of the figures considered in Jazz Pharmaceuticals's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that JAZZ is an impressive value stock right now.
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Are Investors Undervaluing Jazz Pharmaceuticals (JAZZ) Right Now?
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is Jazz Pharmaceuticals (JAZZ - Free Report) . JAZZ is currently sporting a Zacks Rank of #1 (Strong Buy) and an A for Value.
JAZZ is also sporting a PEG ratio of 1.10. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. JAZZ's industry has an average PEG of 2.44 right now. Over the last 12 months, JAZZ's PEG has been as high as 1.44 and as low as 0.64, with a median of 1.05.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. JAZZ has a P/S ratio of 1.83. This compares to its industry's average P/S of 3.42.
Finally, investors will want to recognize that JAZZ has a P/CF ratio of 6.07. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. JAZZ's current P/CF looks attractive when compared to its industry's average P/CF of 11.35. Over the past 52 weeks, JAZZ's P/CF has been as high as 13.77 and as low as 5.21, with a median of 7.26.
These are just a handful of the figures considered in Jazz Pharmaceuticals's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that JAZZ is an impressive value stock right now.