Is AerSale (ASLE) a Great Value Stock Right Now?

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. 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 value investors might notice is AerSale (ASLE). ASLE is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 17.03, which compares to its industry's average of 19.94. Over the past year, ASLE's Forward P/E has been as high as 29.91 and as low as 14.14, with a median of 20.65.

Another valuation metric that we should highlight is ASLE's P/B ratio of 1.76. Investors use the P/B ratio to look at a stock's market value versus 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 1.83. Over the past year, ASLE's P/B has been as high as 2.65 and as low as 1.26, with a median of 1.72.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. ASLE has a P/S ratio of 1.85. This compares to its industry's average P/S of 2.06.

Finally, investors should note that ASLE has a P/CF ratio of 14.04. 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. This company's current P/CF looks solid when compared to its industry's average P/CF of 15.24. Over the past year, ASLE's P/CF has been as high as 19.07 and as low as 6.43, with a median of 13.03.

These figures are just a handful of the metrics value investors tend to look at, but they help show that AerSale is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ASLE feels like a great value stock at the moment.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.