Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
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.
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.
Dublin, Ireland-based Adient PLC is one of the world’s largest automotive seating suppliers. Adient maintains longstanding relationships with the largest global auto original equipment manufacturers (OEMs). The company’s technologies extend to virtually every area of automotive seating solutions.
ADNT is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 11.6X for the current fiscal year compared to the Automotive – Original Equipment industry’s P/E 12.8X. Additionally, ADNT has a PEG Ratio of 0.8 and a Price/Cash Flow ratio of 3.7X. Value investors should also note ADNT’s Price/Sales ratio of 0.1X.
Value investors don’t just pay attention to a company’s valuation ratios; positive earnings play a crucial role, too. Three analysts revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $0.14 to $1.87. ADNT has an average earnings surprise of 18.3%.
ADNT should be on investors’ short list because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Adient (ADNT) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).