Why Sony (SONY) is a Top Value Stock for the Long-Term

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Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.

Why Investors Should Pay Attention to This Value Stock

Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.

Sony (SONY)

Headquartered in Tokyo, Japan, Sony Group Corporation (known as Sony Corporation till March 2021) designs, manufactures and sells several consumer and industrial electronic equipment. The company’s product roster comprises audio and video equipment, televisions, network services, game hardware and software, mobile phones and image sensors. Additionally, Sony is active in the production, acquisition and distribution of recorded music and the management and licensing of the words and music for songs.

SONY is a Zacks Rank #3 (Hold) stock, with a Value Style Score of B and VGM Score of B. Shares are currently trading at a forward P/E of 17X for the current fiscal year compared to the Audio Video Production industry's P/E of 23.5X. Additionally, SONY has a PEG Ratio of 12.6 and a Price/Cash Flow ratio of 8.1X. Value investors should also note SONY's Price/Sales ratio of 1.3X.

A company's earnings performance is important for value investors as well. For fiscal 2025, one analyst revised their earnings estimate higher in the last 60 days for SONY, while the Zacks Consensus Estimate has increased $0.01 to $1.12 per share. SONY also holds an average earnings surprise of 22.8%.

Investors should take the time to consider SONY for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.

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