While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.

Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

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 company to watch right now is MI Homes (MHO). MHO is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 7.61 right now. For comparison, its industry sports an average P/E of 11.23. Over the last 12 months, MHO's Forward P/E has been as high as 8.92 and as low as 4.18, with a median of 7.04.

Another valuation metric that we should highlight is MHO's P/B ratio of 1.57. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.87. Over the past year, MHO's P/B has been as high as 1.70 and as low as 0.86, with a median of 1.32.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. MHO has a P/S ratio of 1.04. This compares to its industry's average P/S of 1.05.

Finally, investors should note that MHO has a P/CF ratio of 8.15. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 10.36. Over the past year, MHO's P/CF has been as high as 8.79 and as low as 4.26, with a median of 6.98.

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

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

M/I Homes, Inc. (MHO) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research