Yahoo Finance Is BuildABear Workshop (BBW) 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.
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.
One company value investors might notice is BuildABear Workshop (BBW). BBW is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 7.57. This compares to its industry's average Forward P/E of 12.86. Over the last 12 months, BBW's Forward P/E has been as high as 36.63 and as low as 5.96, with a median of 9.07.
Another notable valuation metric for BBW is its P/B ratio of 3.37. The P/B is a method of comparing a stock's market value to 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 8.27. Within the past 52 weeks, BBW's P/B has been as high as 4.09 and as low as 2.65, with a median of 3.20.
Finally, investors will want to recognize that BBW has a P/CF ratio of 5.04. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. BBW's P/CF compares to its industry's average P/CF of 11.32. Within the past 12 months, BBW's P/CF has been as high as 15.63 and as low as 3.96, with a median of 6.39.
If you're looking for another solid Retail - Miscellaneous value stock, take a look at Seven and I Holdings Co. (SVNDY). SVNDY is a # 2 (Buy) stock with a Value score of A.
Additionally, Seven and I Holdings Co. has a P/B ratio of 1.30 while its industry's price-to-book ratio sits at 8.27. For SVNDY, this valuation metric has been as high as 1.68, as low as 1.27, with a median of 1.45 over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that BuildABear Workshop and Seven and I Holdings Co. are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BBW and SVNDY feels like a great value stock at the moment.
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BuildABear Workshop, Inc. (BBW) : Free Stock Analysis Report
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