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Should You Buy Envista Holdings Corp (NVST) Stock Monday?

Monday, November 13, 2023 01:27 PM | InvestorsObserver Analysts

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Should You Buy Envista Holdings Corp (NVST) Stock Monday?

InvestorsObserver gives Envista Holdings Corp (NVST) a weak valuation score of 25 from its analysis. The proprietary scoring system considers the underlying health of a company by analyzing its stock price, earnings, and growth rate. NVST currently holds a better value than 25% 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.

Valuation Rank - 25
NVST gets a 25 Valuation Rank today. Find out what this means to you and get the rest of the rankings on NVST!

Metrics Analysis

NVST has a trailing twelve month Price to Earnings (PE) ratio of 17.15 which places it around the histroical average of roughly 15. NVST is currently trading at a average value due to investors paying around what the stock is worth in relation to its earnings. NVST's trailing-12-month earnings per share (EPS) of 1.50 does justify its share price in the market. Trailing PE ratios do not factor in the company's projected growth rate, thus, some firms will have high PE ratios caused by high growth recruiting more investors even if the underlying company has produced low earnings so far.
NVST has a 12 month forward PE to Growth (PEG) ratio of 3.12. Markets are overvaluing NVST in relation to its projected growth as its PEG ratio is currently above the fair market value of 1. 1.5's PEG comes from its forward price to earnings ratio being divided by its growth rate. PEG ratios are one of the most used valuation metrics due to its incorporation of more company fundamentals metrics and a focus on the firm's future rather than its past.

Summary

NVST's valuation metrics are weak at its current price due to a overvalued PEG ratio due to strong growth. NVST's PE and PEG are worse than the market average resulting in a below average valuation score. Click Here to get the full Report on Envista Holdings Corp (NVST) stock.

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