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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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
JD.com (JD - Free Report) is a stock many investors are watching right now. JD is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 9.02 right now. For comparison, its industry sports an average P/E of 21.35. Over the last 12 months, JD's Forward P/E has been as high as 11.39 and as low as 6.31, with a median of 8.47.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. JD has a P/S ratio of 0.4. This compares to its industry's average P/S of 1.18.
Finally, we should also recognize that JD has a P/CF ratio of 8.96. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 15.05. Over the past year, JD's P/CF has been as high as 11.82 and as low as 7.05, with a median of 8.96.
These are just a handful of the figures considered in JD.com'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 JD is an impressive value stock right now.
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Are Investors Undervaluing JD.com (JD) 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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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.
JD.com (JD - Free Report) is a stock many investors are watching right now. JD is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 9.02 right now. For comparison, its industry sports an average P/E of 21.35. Over the last 12 months, JD's Forward P/E has been as high as 11.39 and as low as 6.31, with a median of 8.47.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. JD has a P/S ratio of 0.4. This compares to its industry's average P/S of 1.18.
Finally, we should also recognize that JD has a P/CF ratio of 8.96. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 15.05. Over the past year, JD's P/CF has been as high as 11.82 and as low as 7.05, with a median of 8.96.
These are just a handful of the figures considered in JD.com'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 JD is an impressive value stock right now.