Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
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 fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
DHI Group (DHX) is a stock many investors are watching right now. DHX is currently sporting a Zacks Rank #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 12.56, which compares to its industry's average of 15.33. Over the past 52 weeks, DHX's Forward P/E has been as high as 28.42 and as low as 8.99, with a median of 14.14.
If you're looking for another solid Internet - Content value stock, take a look at Weibo (WB). WB is a Zacks Rank of #2 (Buy) stock with a Value score of A.
Shares of Weibo currently hold a Forward P/E ratio of 6.99, and its PEG ratio is 1.37. In comparison, its industry sports average P/E and PEG ratios of 15.33 and 1.47.
Over the past year, WB's P/E has been as high as 7.12, as low as 4.41, with a median of 5.72; its PEG ratio has been as high as 1.77, as low as 1.13, with a median of 1.41 during the same time period.
Weibo sports a P/B ratio of 0.83 as well; this compares to its industry's price-to-book ratio of 11.04. In the past 52 weeks, WB's P/B has been as high as 0.85, as low as 0.51, with a median of 0.66.
These are only a few of the key metrics included in DHI Group and Weibo strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, DHX and WB look like an impressive value stock at the moment.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
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DHI Group, Inc. (DHX): Free Stock Analysis Report
Weibo Corporation (WB): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).