Yahoo Finance Is Air Lease (AL) Stock Undervalued 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.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
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.
Air Lease (AL) is a stock many investors are watching right now. AL is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock holds a P/E ratio of 7.18, while its industry has an average P/E of 14.31. Over the last 12 months, AL's Forward P/E has been as high as 9.56 and as low as 6.38, with a median of 7.64.
Investors should also note that AL holds a PEG ratio of 0.55. 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. AL's PEG compares to its industry's average PEG of 1.04. Within the past year, AL's PEG has been as high as 0.97 and as low as 0.46, with a median of 0.67.
Another notable valuation metric for AL is its P/B ratio of 0.78. 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 1.77. AL's P/B has been as high as 0.81 and as low as 0.54, with a median of 0.65, over the past year.
Finally, investors will want to recognize that AL has a P/CF ratio of 3.09. 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. AL's P/CF compares to its industry's average P/CF of 8.88. Within the past 12 months, AL's P/CF has been as high as 3.20 and as low as 2.20, with a median of 2.69.
These are just a handful of the figures considered in Air Lease'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 AL is an impressive value stock right now.
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Air Lease Corporation (AL) : Free Stock Analysis Report
