Are you a value investor? This 1 stock may be the perfect choice

For both new and old investors, the common goals are to take full advantage of the stock market and invest safely.

Achieving these goals is easier with Zacks Style Scores, a unique set of guidelines that evaluate stocks based on popular investing methodologies namely value, growth and momentum. Style scores can help you narrow down which stocks are better for your portfolio and which are likely to beat the market over the long term.

Why investors should pay attention to these value stocks

Finding good stocks at good prices and discovering which companies are trading below their true value are areas that value investors like to focus on. So the Value Style Score takes into account metrics like P/E, PEG, price/sales, and price/cash flow to highlight the most attractive and overpriced stocks.

Amazon (AMZN)

Amazon.com is one of the largest e-commerce providers with extensive operations in North America that now span the globe.

AMZN is a Zacks Rank #3 (Hold), has a Value Score of B and a VGM Score of A. Compared to the e-commerce industry’s P/E ratio of 21.3X, Amazon stock is trading at a Forward P Ratio /E at 39.2X. AMZN also has a PEG ratio of 1.3, a price-to-cash flow ratio of 23.9X, and a price-to-sales ratio of 3.2X.

Value investors pay attention to more than just a company’s valuation metrics; positive earnings also play a key role. 12 analysts have revised their fiscal 2024 earnings estimates upwards in the last 60 days. The Zacks Consensus Estimate increased by $0.52 to $4.61 per share. AMZN surprises with average earnings of 48.2%.

Investors should take time to consider AMZN for their portfolios due to its solid Zacks Ranks, noteworthy earnings and valuation metrics, and impressive value and VGM-like performance.

Want the latest recommendations from Zacks Investment Research? Today you can download the top 7 stocks for the next 30 days. Click to get this free report

Amazon.com, Inc. (AMZN): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research