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Is GREENCORE GRP (GNCGY) Stock Undervalued Right Now?

Zacks

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. 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.

GREENCORE GRP (GNCGY) is a stock many investors are watching right now. GNCGY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock holds a P/E ratio of 11.10, while its industry has an average P/E of 16.10. Over the last 12 months, GNCGY’s Forward P/E has been as high as 17.90 and as low as 7.63, with a median of 11.65.


We also note that GNCGY holds a PEG ratio of 1.41. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company’s expected EPS growth rate. GNCGY’s industry currently sports an average PEG of 2.01. Over the last 12 months, GNCGY’s PEG has been as high as 3.45 and as low as 0.86, with a median of 1.30.

Investors should also recognize that GNCGY has a P/B ratio of 1.70. The P/B ratio pits a stock’s market value against 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 1.73. Over the past year, GNCGY’s P/B has been as high as 2.14 and as low as 1.41, with a median of 1.75.

These figures are just a handful of the metrics value investors tend to look at, but they help show that GREENCORE GRP is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, GNCGY feels like a great value stock at the moment.


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