Is Insight Enterprises (NSIT) a Great Value Stock Right Now?

Zacks Equity Research
·3 min read

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

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 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 Insight Enterprises (NSIT). NSIT is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 12.55, while its industry has an average P/E of 14.43. Over the past 52 weeks, NSIT's Forward P/E has been as high as 12.66 and as low as 4.80, with a median of 9.59.

Another notable valuation metric for NSIT is its P/B ratio of 2.25. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 2.35. NSIT's P/B has been as high as 2.26 and as low as 0.99, with a median of 1.65, over the past year.

Finally, investors will want to recognize that NSIT has a P/CF ratio of 11.90. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 11.93. Within the past 12 months, NSIT's P/CF has been as high as 12.26 and as low as 5.67, with a median of 9.02.

These are just a handful of the figures considered in Insight Enterprises'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 NSIT is an impressive value stock right now.


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