Zions Bancorporation Stock Swing Long Trade Setup
Zions Bancorporation stock has pulled back to the 38.2% Fibonacci retracement level and looks to be attracting buyers off this level.
Compared to an average industry price book ratio of 1.63, ZION is valuated rather cheaply. On top of this, ZION is cheaper than 87% of the companies listed in the same industry. The low PEG Ratio indicates a rather cheap valuation of the company.
With a Price/Earnings Ratio of 19.86, ZION is valued on the expensive side.
Measured over the past 5 years, ZION shows a very strong growth in EPS. The EPS has been growing by 27.95% on average per year.
Zions Bancorporation Stock
In addition to the 38.2% Fibonacci retracement, the Effective Volume study shows that large players volume has been slowly rising.
Zions Bancorporation stock has a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at $44.67. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 43.77, a stop order could be placed below this zone.
Zions Bancorporation Review
- Profitability (Return On Assets, Return On Equity, and Profit Margin)
- Valuation (P/E, Forward P/E, PEG, Book Value, Price to Book Ratio)
- Growth (EPS and Revenue)
- Health (Current Ratio, Quick Ratio, Debt to Equity, Altman-Z Score)
The profitability score is not very good in Zions Bancorporation. The Profit Margin of 118.66% is great. This is one of the best returns in the industry. The industry average is 101.04%. Zions Bancorporation outperforms 92% of its industry peers. What hurts the company is its Return On Asserts of 0.83%. This is below the industry average of 0.97%. Also, Zions has a Return On Equity of 7.44%. This is below the industry average of 9.11%. 82% of the industry peers outperforms Zions.
The valuation of Zions Bancorporation is solid. The low PEG Ratio, which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company. Compared to an average industry price to book ratio of 1.63, Zion's is valued rather cheaply. Zion's is cheaper than 88% of the companies listed in the same industry. However what hurts this company is its Price/Earnings Ratio of 19.75 which is on the expensive side. The Forward Price/Earnings Ratio of 17.06 also indicates a rather expensive valuation. Zion's Price/Earning Ratio is slightly more expensive than the industry average, which is at 19.
Growth is where Zions Bancorporation excels. Zion shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36%, which is impressive. Measured over the past 5 years, Zion shows a strong growth in Earnings Per Share. The EPS has been growing by 27.95% on average per year. Where the company falls short is on revenue. Revenue has been decreasing by -1.61% on average over the past 5 years. When comparing the growth rate of the last year to the growth rate of the upcoming 2 years, we see that the growth is decreasing.
The Health of the company is lacking. The Debt to Equity ratio for Zion is way better than the industry averages. Zion has a better rating than 86% of its industry peers. However, where the company falls short is on its Altman-Z score of 0.21. This is a bad value and indicates that Zion is not financially healthy and even has some risk of bankruptcy. Compared to an average industry Altman-Z score of 0.25, ZION is in worse financial health than its industry peers.
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