Are Investors Undervaluing Embotelladora Andina (AKO.B) Right Now?

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.Embotelladora Andina (AKO.B) is a stock many investors are watching right now. AKO.B is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 14.43. This compares to its industry's average Forward P/E of 18.82. AKO.B's Forward P/E has been as high as 14.67 and as low as 10, with a median of 11.54, all within the past year.Investors should also recognize that AKO.B has a P/B ratio of 3.61. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 9.71. Within the past 52 weeks, AKO.B's P/B has been as high as 3.67 and as low as 2.07, with a median of 2.59.Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. AKO.B has a P/S ratio of 1.25. This compares to its industry's average P/S of 1.9.Finally, investors should note that AKO.B has a P/CF ratio of 15.74. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. AKO.B's current P/CF looks attractive when compared to its industry's average P/CF of 22.60. AKO.B's P/CF has been as high as 16 and as low as 10.83, with a median of 12.61, all within the past year.These figures are just a handful of the metrics value investors tend to look at, but they help show that Embotelladora Andina is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AKO.B feels like a great value stock at the moment.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Embotelladora Andina S.A. (AKO.B): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks