We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Are Investors Undervaluing Private Bancorp of America (PBAM) Right Now?
Read MoreHide Full Article
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, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One stock to keep an eye on is Private Bancorp of America (PBAM - Free Report) . PBAM is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 7.95, which compares to its industry's average of 14.15. Over the last 12 months, PBAM's Forward P/E has been as high as 8.53 and as low as 4.84, with a median of 6.79.
We should also highlight that PBAM has a P/B ratio of 1.39. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2. Within the past 52 weeks, PBAM's P/B has been as high as 1.42 and as low as 1, with a median of 1.09.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. PBAM has a P/S ratio of 1.87. This compares to its industry's average P/S of 2.14.
Finally, our model also underscores that PBAM has a P/CF ratio of 8.93. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 17.15. PBAM's P/CF has been as high as 9.16 and as low as 4.98, with a median of 6.39, all within the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Private Bancorp of America is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, PBAM feels like a great value stock at the moment.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Are Investors Undervaluing Private Bancorp of America (PBAM) Right Now?
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, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One stock to keep an eye on is Private Bancorp of America (PBAM - Free Report) . PBAM is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 7.95, which compares to its industry's average of 14.15. Over the last 12 months, PBAM's Forward P/E has been as high as 8.53 and as low as 4.84, with a median of 6.79.
We should also highlight that PBAM has a P/B ratio of 1.39. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2. Within the past 52 weeks, PBAM's P/B has been as high as 1.42 and as low as 1, with a median of 1.09.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. PBAM has a P/S ratio of 1.87. This compares to its industry's average P/S of 2.14.
Finally, our model also underscores that PBAM has a P/CF ratio of 8.93. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 17.15. PBAM's P/CF has been as high as 9.16 and as low as 4.98, with a median of 6.39, all within the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Private Bancorp of America is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, PBAM feels like a great value stock at the moment.