Is IBEX Limited (IBEX) Stock Undervalued Right Now?
The Zacks Rank is a proven ranking that places emphasis on earnings estimates and revisions in order to identify strong stocks. However, we know that investors have their own strategies. To find great companies, we look at growth and value trends.
Value investing is perhaps the most popular stock market trend. It has been successful in all market environments and is now more popular than any other. Value investors employ traditional valuation metrics and fundamental analysis to locate stocks that they believe are undervalued by large markets.
To find stocks that have specific characteristics, investors can look at the Zacks Rank in addition to our Style Scores system. Value investors, for example, will be focusing on the “Value” category. Stocks with high Zacks ranks and “A” grades for Value will be among the most valuable value stocks available today.
One stock you should keep an eye out for is IBEX Limited (IBEX).. IBEX currently holds a Zacks Rank 2 (Buy) and a Value Grade of A. The Forward P/E ratio for the stock is 15.90. This is compared to the industry’s average Forward PE of 20.51. IBEX has seen its Forward P/E fluctuate between 17.01 to 9.45 and a median of 11.93 over the past 12 months.
The P/S ratio is a favorite of value investors. It simply involves dividing the stock’s price by the company’s total sales. Because sales are more difficult to manipulate than income statements, some prefer this metric. It could also be a more accurate performance indicator. IBEX has a ratio of 0.91 to its industry average P/S. This is compared to the industry average P/S ratio of 1.05.
Investors should also note that IBEX’s P/CF ratio is 8.02. This ratio measures a company’s operating cash flow. It is used to identify stocks that are undervalued on the basis of their cash outlook. IBEX’s current P/CF stands out against the industry’s average 12.07. IBEX’s P/CF over the last 52 weeks has varied between 8.51 and 4.98 with a median of 5.83.
Investors should also be aware Mitie Group (MITFY), a Business – Services Stock with a Zacks Rank #2 (Buy) & Value Grade of A.
Mitie Group also boasts a P/B ratio 2.08, which is lower than the industry’s 2.80 price-to-book ratio. MITFY has had a P/B ratio as high as 2.45 and as low as 1.54 over the last 52 weeks with a median value of 1.98.
These metrics are not the only thing value investors will consider, but they do show that IBEX Limited as well as Mitie Group are likely to be undervalued at present. IBEX and MITFY stand out as strong value stocks when looking at the strength in its earnings outlook.
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IBEX Limited (IBEX) : Free Stock Analysis Report
Mitie Group PLC. (MITFY) : Free Stock Analysis Report