Discover PAR PACIFIC HOLDINGS INC (NYSE:PARR)—an undervalued stock our stock screener has picked out. NYSE:PARR demonstrates solid fundamentals, including health and profitability, all while staying attractively priced. Let's explore the details.
Understanding NYSE:PARR's Valuation Score
ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NYSE:PARR boasts a 8 out of 10:
- PARR is valuated cheaply with a Price/Earnings ratio of 3.91.
- Based on the Price/Earnings ratio, PARR is valued cheaper than 86.45% of the companies in the same industry.
- PARR is valuated cheaply when we compare the Price/Earnings ratio to 26.04, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 8.00 indicates a rather cheap valuation of PARR.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of PARR indicates a somewhat cheap valuation: PARR is cheaper than 70.56% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of PARR to the average of the S&P500 Index (21.61), we can say PARR is valued rather cheaply.
- PARR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PARR is cheaper than 81.78% of the companies in the same industry.
- PARR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. PARR is cheaper than 90.19% of the companies in the same industry.
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
Profitability Assessment of NYSE:PARR
ChartMill employs its own Profitability Rating system for stock evaluation. This score, ranging from 0 to 10, is derived from an analysis of diverse profitability metrics and margins. In the case of NYSE:PARR, the assigned 5 is noteworthy for profitability:
- PARR's Return On Assets of 13.47% is fine compared to the rest of the industry. PARR outperforms 70.09% of its industry peers.
- PARR's Return On Equity of 48.91% is amongst the best of the industry. PARR outperforms 87.85% of its industry peers.
- PARR has a Return On Invested Capital of 25.21%. This is amongst the best in the industry. PARR outperforms 88.78% of its industry peers.
- PARR's Profit Margin has improved in the last couple of years.
- In the last couple of years the Operating Margin of PARR has grown nicely.
- In the last couple of years the Gross Margin of PARR has grown nicely.
Evaluating Health: NYSE:PARR
ChartMill employs a unique Health Rating system for all stocks. This rating, ranging from 0 to 10, is determined by analyzing various liquidity and solvency ratios. For NYSE:PARR, the assigned 6 for health provides valuable insights:
- An Altman-Z score of 3.17 indicates that PARR is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 3.17, PARR is in the better half of the industry, outperforming 76.17% of the companies in the same industry.
- The Debt to FCF ratio of PARR is 0.92, which is an excellent value as it means it would take PARR, only 0.92 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.92, PARR belongs to the top of the industry, outperforming 83.64% of the companies in the same industry.
- Although PARR does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
A Closer Look at Growth for NYSE:PARR
ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NYSE:PARR scores a 6 out of 10:
- The Earnings Per Share has grown by an impressive 71.51% over the past year.
- Measured over the past years, PARR shows a very strong growth in Earnings Per Share. The EPS has been growing by 32.98% on average per year.
- Looking at the last year, PARR shows a quite strong growth in Revenue. The Revenue has grown by 15.44% in the last year.
- PARR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.55% yearly.
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Disclaimer
This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.