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Should Value Investors Buy SunCoke Energy (SXC) Stock?
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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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. 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 SunCoke Energy (SXC - Free Report) . SXC is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Investors should also recognize that SXC has a P/B ratio of 1.50. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.75. SXC's P/B has been as high as 1.50 and as low as 0.97, with a median of 1.32, over the past year.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. SXC has a P/S ratio of 0.54. This compares to its industry's average P/S of 1.04.
Finally, we should also recognize that SXC has a P/CF ratio of 4.97. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. SXC's P/CF compares to its industry's average P/CF of 6.41. SXC's P/CF has been as high as 5.11 and as low as 3.37, with a median of 4.35, 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 SunCoke Energy is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SXC feels like a great value stock at the moment.
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Should Value Investors Buy SunCoke Energy (SXC) Stock?
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.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. 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 SunCoke Energy (SXC - Free Report) . SXC is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.
Investors should also recognize that SXC has a P/B ratio of 1.50. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.75. SXC's P/B has been as high as 1.50 and as low as 0.97, with a median of 1.32, over the past year.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. SXC has a P/S ratio of 0.54. This compares to its industry's average P/S of 1.04.
Finally, we should also recognize that SXC has a P/CF ratio of 4.97. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. SXC's P/CF compares to its industry's average P/CF of 6.41. SXC's P/CF has been as high as 5.11 and as low as 3.37, with a median of 4.35, 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 SunCoke Energy is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, SXC feels like a great value stock at the moment.