Are Investors Undervaluing Lifetime Brands (LCUT) 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...
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.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
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 to watch right now is Lifetime Brands (LCUT). LCUT is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 11.21. This compares to its industry's average Forward P/E of 29.09. LCUT's Forward P/E has been as high as 14.37 and as low as 9.27, with a median of 11.99, all within the past year.
We also note that LCUT holds a PEG ratio of 0.80. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. LCUT's industry currently sports an average PEG of 1.37. Over the last 12 months, LCUT's PEG has been as high as 1.11 and as low as 0.66, with a median of 0.92.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. LCUT has a P/S ratio of 0.46. This compares to its industry's average P/S of 1.21.
These are just a handful of the figures considered in Lifetime Brands's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that LCUT is an impressive value stock right now.
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Lifetime Brands, Inc. (LCUT): Free Stock Analysis Report
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