Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

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 to watch right now is Hennes & Mauritz (HNNMY). HNNMY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A.

We should also highlight that HNNMY has a P/B ratio of 4.70. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 5.51. Over the past 12 months, HNNMY's P/B has been as high as 6.68 and as low as 4.01, with a median of 4.95.

Finally, investors will want to recognize that HNNMY has a P/CF ratio of 7.12. 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. HNNMY's P/CF compares to its industry's average P/CF of 12.64. HNNMY's P/CF has been as high as 9.30 and as low as 6.08, with a median of 7.44, all within the past year.

Value investors will likely look at more than just these metrics, but the above data helps show that Hennes & Mauritz is likely undervalued currently. And when considering the strength of its earnings outlook, HNNMY sticks out at as one of the market's strongest value stocks.

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This article originally published on Zacks Investment Research (zacks.com).

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