National Vision (EYE) is a Top-Ranked Value Stock: Should You Buy?

Core Insights - Zacks Premium offers various tools to enhance stock market investment confidence and knowledge [1] - The Zacks Style Scores are designed to complement the Zacks Rank, providing additional stock ratings based on value, growth, and momentum [3][4] Zacks Style Scores - The Style Scores categorize stocks into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [4][5][6][7] - Value Score identifies undervalued stocks using financial ratios [4] - Growth Score assesses a company's financial health and future growth potential [5] - Momentum Score evaluates stocks based on price trends and earnings outlook [6] - VGM Score combines all three styles to provide a comprehensive rating [7] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to help investors build winning portfolios [8] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [9] - There are over 800 stocks rated 1 or 2, which can be overwhelming for investors [10] Investment Strategy - For optimal returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [11] - Stocks with lower ranks but high Style Scores may still face downward price trends due to poor earnings outlooks [12] Company Spotlight: National Vision Holdings, Inc. - National Vision is a leading optical retailer in the U.S. and has a solid position in the value segment of the optical retail industry [13] - The company is currently rated 3 (Hold) with a VGM Score of B and a Value Style Score of B, indicating attractive valuation metrics [13][14] - National Vision's forward P/E ratio is 23.66, and it has seen upward revisions in earnings estimates, with a Zacks Consensus Estimate of $0.54 per share for fiscal 2025 [14] - The company has an average earnings surprise of 79.3%, making it a noteworthy option for investors [14]