Is Core Laboratories Inc (CLB) Stock Over or Undervalued?

InvestorsObserver gives Core Laboratories Inc (CLB) a strong valuation score of 93 from its analysis. The proprietary scoring system considers the underlying health of a company by analyzing its stock price, earnings, and growth rate. CLB currently holds a better value than 93% of stocks based on these metrics. Long term investors focused on buying-and-holding should find the valuation ranking system most relevant when making investment decisions.

CLB gets a 93 Valuation Rank today. Find out what this means to you and get the rest of the rankings on CLB!

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Metrics Analysis

CLB has a trailing twelve month Price to Earnings (PE) ratio of 48.2. The historical average of roughly 15 shows a poor value for CLB stock as investors are paying higher share prices relative to the company's earnings. CLB's high trailing PE ratio shows that the firm has been trading above its fair market value recently. Its trailing 12-month earnings per share (EPS) of 0.51 does not justify the stock's current price. However, trailing PE ratios do not factor in the company's projected growth rate, resulting in many newer firms having high PE ratios due to high growth potential enticing investors despite inadequate earnings. CLB currently has a 12-month-forward-PE-to-Growth (PEG) ratio of 0.89. The market is currently fairly valuing CLB in relation to its projected growth due to the PEG ratio being around the fair market value of 1. CLB's PEG comes from its forward price to earnings ratio being divided by its growth rate. Because PEG ratios include more fundamentals of a company's overall health with additional focus on the future, they are one of the most used valuation metrics by analysts.

Summary

All together these valuation metrics paint a pretty adequate picture for CLB at its current price due to a fairly valued PEG ratio despite strong growth. The PE and PEG for CLB are around the average of the market resulting in a valuation score of 93. Click Here to get the full Report on Core Laboratories Inc (CLB) stock.