The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.

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 stock to keep an eye on is Imperial Tobacco Group (IMBBY). IMBBY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 8.86. This compares to its industry's average Forward P/E of 14.43. IMBBY's Forward P/E has been as high as 8.86 and as low as 5.48, with a median of 6.89, all within the past year.

Investors will also notice that IMBBY has a PEG ratio of 0.91. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. IMBBY's industry has an average PEG of 2.58 right now. Over the last 12 months, IMBBY's PEG has been as high as 1.03 and as low as 0.73, with a median of 0.82.

Another valuation metric that we should highlight is IMBBY's P/B ratio of 4.21. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. IMBBY's current P/B looks attractive when compared to its industry's average P/B of 6.52. Over the past 12 months, IMBBY's P/B has been as high as 4.21 and as low as 2.90, with a median of 3.57.

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

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Imperial Tobacco Group PLC (IMBBY):Free Stock Analysis Report

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

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