Is Tupperware Brands (TUP) a Great Value Stock Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Neverthe...
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.
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 a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Tupperware Brands (TUP). TUP is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.
Investors should also note that TUP holds a PEG ratio of 1.04. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. TUP's PEG compares to its industry's average PEG of 1.71. Over the past 52 weeks, TUP's PEG has been as high as 1.42 and as low as 0.89, with a median of 1.02.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. TUP has a P/S ratio of 0.65. This compares to its industry's average P/S of 1.16.
Finally, our model also underscores that TUP has a P/CF ratio of 6.96. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 15.63. Over the past 52 weeks, TUP's P/CF has been as high as 30.26 and as low as 5.12, with a median of 10.70.
Value investors will likely look at more than just these metrics, but the above data helps show that Tupperware Brands is likely undervalued currently. And when considering the strength of its earnings outlook, TUP sticks out at as one of the market's strongest value stocks.
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Tupperware Brands Corporation (TUP): Free Stock Analysis Report
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