Should Value Investors Buy Columbus McKinnon (CMCO) Stock?

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.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.Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.Columbus McKinnon (CMCO) is a stock many investors are watching right now. CMCO is currently sporting a Zacks Rank #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 5.76 right now. For comparison, its industry sports an average P/E of 6.02. Over the past year, CMCO's Forward P/E has been as high as 12.67 and as low as 4.62, with a median of 6.47. Another valuation metric that we should highlight is CMCO's P/B ratio of 0.47. Investors use the P/B ratio to look at a stock's market value versus 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 0.50. CMCO's P/B has been as high as 1.30 and as low as 0.41, with a median of 0.58, over the past year.Finally, we should also recognize that CMCO has a P/CF ratio of 12.17. 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. CMCO's P/CF compares to its industry's average P/CF of 12.95. Over the past year, CMCO's P/CF has been as high as 18.12 and as low as 7.68, with a median of 12.04.These figures are just a handful of the metrics value investors tend to look at, but they help show that Columbus McKinnon is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CMCO feels like a great value stock at the moment.Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want 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 Columbus McKinnon Corporation (CMCO): 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