Yahoo Finance Is Sun Country Airlines (SNCY) Stock Undervalued 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. 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 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.
Sun Country Airlines (SNCY) is a stock many investors are watching right now. SNCY is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 9.01, which compares to its industry's average of 9.11. Over the past 52 weeks, SNCY's Forward P/E has been as high as 40.49 and as low as 8.79, with a median of 11.69.
Another valuation metric that we should highlight is SNCY's P/B ratio of 1.97. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 3.61. Over the past 12 months, SNCY's P/B has been as high as 2.97 and as low as 1.56, with a median of 2.17.
Investors could also keep in mind United Airlines (UAL), an Transportation - Airline stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
United Airlines is currently trading with a Forward P/E ratio of 5.01 while its PEG ratio sits at 0.10. Both of the company's metrics compare favorably to its industry's average P/E of 9.11 and average PEG ratio of 0.30.
UAL's price-to-earnings ratio has been as high as 22.76 and as low as 4.51, with a median of 7.47, while its PEG ratio has been as high as 0.11 and as low as 0.10, with a median of 0.11, all within the past year.
Additionally, United Airlines has a P/B ratio of 2.35 while its industry's price-to-book ratio sits at 3.61. For UAL, this valuation metric has been as high as 4.36, as low as 1.76, with a median of 2.73 over the past year.
These are only a few of the key metrics included in Sun Country Airlines and United Airlines strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, SNCY and UAL look like an impressive value stock at the moment.
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Sun Country Airlines Holdings, Inc. (SNCY) : Free Stock Analysis Report
United Airlines Holdings Inc (UAL) : Free Stock Analysis Report
