Is Progress Software (PRGS) a Great Value Stock Right Now?

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.One company to watch right now is Progress Software (PRGS). PRGS is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 7.46, which compares to its industry's average of 18.95. Over the last 12 months, PRGS's Forward P/E has been as high as 14.46 and as low as 7.37, with a median of 10.95. Investors should also recognize that PRGS has a P/B ratio of 4. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 5.48. Within the past 52 weeks, PRGS's P/B has been as high as 7.05 and as low as 3.95, with a median of 5.89.Value investors also use the P/S ratio. The P/S ratio is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. PRGS has a P/S ratio of 1.6. This compares to its industry's average P/S of 3.41.Finally, our model also underscores that PRGS has a P/CF ratio of 9.86. 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. PRGS's P/CF compares to its industry's average P/CF of 13.71. PRGS's P/CF has been as high as 18.02 and as low as 9.74, with a median of 14.83, all within the past year.Value investors will likely look at more than just these metrics, but the above data helps show that Progress Software is likely undervalued currently. And when considering the strength of its earnings outlook, PRGS sticks out as one of the market's strongest value stocks.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks