Core Viewpoint - The article emphasizes the importance of value investing and highlights Cars.com (CARS) as a strong value stock based on its favorable valuation metrics and earnings outlook [2][3][6] Valuation Metrics - Cars.com has a Price-to-Book (P/B) ratio of 2.25, which is significantly lower than the industry average of 5.62, indicating it may be undervalued [4] - The stock's P/B ratio has fluctuated between 1.99 and 2.85 over the past year, with a median of 2.37 [4] - Additionally, Cars.com has a Price-to-Cash Flow (P/CF) ratio of 7.83, compared to the industry average of 16.77, further suggesting undervaluation [5] - The P/CF ratio has ranged from 5.03 to 10.36 in the past year, with a median of 7.56 [5] Investment Outlook - Cars.com holds a Zacks Rank of 2 (Buy) and an "A" grade in the Value category, making it one of the strongest value stocks currently available [3][6] - The combination of its attractive valuation metrics and strong earnings outlook positions Cars.com as an impressive value stock [6]
Is Cars.com (CARS) Stock Undervalued Right Now?