Yahoo Finance Are Investors Undervaluing Profire Energy (PFIE) Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
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 tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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.
One stock to keep an eye on is Profire Energy (PFIE). PFIE is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 8.80 right now. For comparison, its industry sports an average P/E of 18.99. Over the past year, PFIE's Forward P/E has been as high as 16.50 and as low as 6.38, with a median of 8.54.
We should also highlight that PFIE has a P/B ratio of 1.65. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2.45. PFIE's P/B has been as high as 2.75 and as low as 1.06, with a median of 1.34, over the past year.
Finally, our model also underscores that PFIE has a P/CF ratio of 6.96. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 7.26. Over the past 52 weeks, PFIE's P/CF has been as high as 15.94 and as low as 5.46, with a median of 7.99.
These are only a few of the key metrics included in Profire Energy's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, PFIE looks like an impressive value stock at the moment.
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Profire Energy, Inc. (PFIE) : Free Stock Analysis Report
