Yahoo Finance Are Investors Undervaluing Legal & General Group (LGGNY) Right Now?
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, 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.
One company to watch right now is Legal & General Group (LGGNY). LGGNY is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 7.82, which compares to its industry's average of 9.76. Over the last 12 months, LGGNY's Forward P/E has been as high as 9.60 and as low as 5.23, with a median of 7.36.
We should also highlight that LGGNY has a P/B ratio of 1.22. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 3. Within the past 52 weeks, LGGNY's P/B has been as high as 1.71 and as low as 0.91, with a median of 1.24.
If you're looking for another solid Insurance - Multi line value stock, take a look at Ping An Insurance Co. of China (PNGAY). PNGAY is a # 2 (Buy) stock with a Value score of A.
Ping An Insurance Co. of China sports a P/B ratio of 0.77 as well; this compares to its industry's price-to-book ratio of 3. In the past 52 weeks, PNGAY's P/B has been as high as 0.95, as low as 0.43, with a median of 0.68.
These are only a few of the key metrics included in Legal & General Group and Ping An Insurance Co. of China strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, LGGNY and PNGAY look like an impressive value stock at the moment.
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Legal & General Group PLC (LGGNY) : Free Stock Analysis Report
Ping An Insurance Co. of China Ltd. (PNGAY) : Free Stock Analysis Report
