Should value investors buy Nissan Motor Co. (NSANY) shares?

While the proven Zacks Rank emphasizes earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With that in mind, we are always monitoring value, growth and momentum trends to discover great companies.

Given these trends, value investing is clearly one of the most popular methods for finding strong stocks in any type of market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are undervalued by the market as a whole.

Fortunately, Zacks has developed its own Style Scores system to find stocks with certain traits. Value investors will be interested in the “Value” category of the system. Stocks with an “A” grade in the Value category and high Zacks Ranks are among the strongest value stocks on the market today.

Nissan Motor Co. (NSANY) is a stock that is currently being watched by many investors. NSANY currently has a Zacks Rank of #1 (Strong Buy) as well as an A grade for Value. The stock is currently trading at a P/E ratio of 6.15. For comparison, the industry average is 9.38. Over the past 52 weeks, NSANY’s Forward P/E ratio has been as high as 13.36 and as low as 5.16, with a median of 6.27.

Finally, our model also highlights that NSANY has a P/CF ratio of 2.35. This metric focuses on a company’s operating cash flow and is often used to find stocks that are undervalued due to their strong cash outlook. NSANY’s P/CF compares to its industry’s average P/CF of 6.71. Over the past year, NSANY’s P/CF has ranged from 2.54 to 1.84, with a median of 2.13.

Value investors will likely look at more than just these metrics, but the data above shows that Nissan Motor Co. is likely undervalued right now. And when you consider the strength of its earnings outlook, NSANY stands out as one of the strongest value stocks on the market.

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Nissan Motor Co. (NSANY): Free Stock Analysis Report

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