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Why This 1 Value Stock Could Be a Great Addition to Your Portfolio
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
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.
Why Investors Should Pay Attention to This Value Stock
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.
Astrazeneca (AZN)
AstraZeneca plc, headquartered in London, UK, is one of the largest biopharmaceutical companies in the world. AstraZeneca was formed on Apr 6, 1999, through the merger of Sweden’s Astra AB and UK’s Zeneca Group plc. AstraZeneca’s business can be broken down into separate lines based on therapeutic classes. These include CVRM (cardiovascular, renal and metabolism), Respiratory & Immunology (R&I), Oncology, Rare Diseases, Vaccines and Other.
AZN sits at a Zacks Rank #3 (Hold), holds a Value Style Score of B, and has a VGM Score of A. Compared to the Medical - Biomedical and Genetics industry's P/E of 18.8X, shares of Astrazeneca are trading at a forward P/E of 14.7X. AZN also has a PEG Ratio of 1.2, a Price/Cash Flow ratio of 10.5X, and a Price/Sales ratio of 3.7X.
Many value investors pay close attention to a company's earnings as well. For AZN, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.02 to $4.50 per share for 2025. Per share AZN boasts an average earnings surprise of 4.2%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding AZN to their portfolios.
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AstraZeneca PLC (AZN) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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