Are You a Value Investor? This 1 Stock Could Be the Perfect Pick

Zacks Equity Research
·2 min read

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.

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

Why Investors Should Pay Attention to This Value Stock

Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.

Ensign Group (ENSG)

Founded in 1999 and headquartered in San Juan Capistrano, CA, The Ensign Group Inc. provides health care services in the post-acute care continuum, urgent care center and mobile ancillary businesses in the United States.

ENSG boasts a Value Style Score of A and VGM Score of B, and holds a Zacks Rank #2 (Buy) rating. Shares of Ensign Group are trading at a forward earnings multiple of 21.3X, as well as a PEG Ratio of 1.4, a Price/Cash Flow ratio of 19.1X, and a Price/Sales ratio of 1.7X.

A company's earnings performance is important for value investors as well. For fiscal 2022, two analysts revised their earnings estimate higher in the last 60 days for ENSG, while the Zacks Consensus Estimate has increased $0.02 to $4.12 per share. ENSG also holds an average earnings surprise of 1.3%.

Investors should take the time to consider ENSG for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.


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