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Is B&M European Value Retail (BMRRY) Stock Undervalued 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.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

B&M European Value Retail (BMRRY - Free Report) is a stock many investors are watching right now. BMRRY is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 9.57, which compares to its industry's average of 11.35. Over the last 12 months, BMRRY's Forward P/E has been as high as 13.80 and as low as 7.33, with a median of 10.44.

Another valuation metric that we should highlight is BMRRY's P/B ratio of 4.59. 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 6.08. Over the past year, BMRRY's P/B has been as high as 7.65 and as low as 3.42, with a median of 5.43.

These are just a handful of the figures considered in B&M European Value Retail'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 BMRRY is an impressive value stock right now.


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