Why This 1 Value Stock Could Improve Your Portfolio

Maximizing one's potential in the stock market and doing so with self-assurance are universal objectives for investors of all ages and levels of expertise.

The Zacks Style Scores are a one-of-a-kind set of rules for evaluating companies according to three widely used investing methodologies: growth, momentum, and value. They make it easier to achieve these goals.

Using the Style Scores, you may better select stocks that will contribute to your portfolio's growth and outperform the market in the long run. Reasons Why This Value Stock Is Deserving of Investors' Attention

Value investors seek out inexpensive but high-quality equities and look for companies that are trading at a discount to their actual worth. To determine which stocks are the best deals, the Value Style Score considers several ratios, including Price/Earnings, Price/Sales, and Price/Cash Flow.

Company Name: RPM International RPM International Inc. and its affiliates produce and sell specialty chemicals, coatings, and sealants with high performance, mainly for use in repair and upkeep projects.

With a Value Style Score of B and a VGM Score of A, RPM is a stock that Zacks Rank #3 (Hold) recommends. In comparison to the Paints & Related Products industry, which has a P/E of 26.2X, shares are trading at a forward P/E of 23.2X for the current fiscal year. Also, the price-to-cash-flow ratio for RPM is 20.1X, and the PEG ratio is 1.8. Note that RPM has a price-to-sales ratio of 2X, which is important for value investors.

Value investors also care about how well a firm is doing financially. The Zacks Consensus Estimate for RPM's earnings for fiscal 2024 has climbed $0.00 to $5.01 per share, and two analysts have raised their estimates for the company in the past 60 days. Furthermore, RPM has an 8.3% average earnings surprise.

Investors should seriously consider adding RPM to their portfolios due to its great valuation and earnings figures, good Zacks Rank, and top-tier Value and VGM Style Scores.