Investors, both new and experienced, strive to achieve common goals of maximizing their returns in the stock market while maintaining confidence in their investments. Achieving these objectives can be made easier through the use of the Zacks Style Scores, a powerful tool that evaluates stocks based on well-established investing strategies such as value, growth, and momentum. By utilizing these scores, investors can determine which stocks are best suited for their portfolios and have the potential to outperform the market over the long term.
One key aspect of investing is paying close attention to value stocks. Value investors seek out companies that are undervalued relative to their true worth as determined by ratios like P/E, PEG, Price/Sales, and Price/Cash Flow. These ratios help identify stocks that are attractive and discounted, making them potentially lucrative investment opportunities.
One example of a value stock worth considering is Elevance Health (ELV), a major publicly traded health insurer based in Indianapolis, IN. ELV recently underwent a name change from Anthem, Inc., but maintains a strong Value Style Score of A and a VGM Score of A. The company also boasts a Zacks Rank #3 (Hold) rating. ELV’s valuation metrics include a forward earnings multiple of 14X and positive earnings estimate revisions by analysts, making it an appealing investment option for those looking for solid returns.
Investors should consider adding ELV to their portfolios due to its impressive Zacks Ranks, positive earnings outlook, robust valuation metrics, and strong Value and VGM Style Scores. By leveraging tools like the Zacks Style Scores and conducting thorough research, investors can make informed decisions that align with their investment goals and preferences while maximizing their potential returns in the stock market.
