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While Green Brick Partners, Inc. (NYSE:GRBK) might not have the largest market cap around , it received a lot of attention from a substantial price movement on the NYSE over the last few months, increasing to US$62.74 at one point, and dropping to the lows of US$53.49. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Green Brick Partners' current trading price of US$58.22 reflective of the actual value of the mid-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at Green Brick Partners’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

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Is Green Brick Partners Still Cheap?

Good news, investors! Green Brick Partners is still a bargain right now according to our price multiple model, which compares the company's price-to-earnings ratio to the industry average. In this instance, we’ve used the price-to-earnings (PE) ratio given that there is not enough information to reliably forecast the stock’s cash flows. we find that Green Brick Partners’s ratio of 6.84x is below its peer average of 8.86x, which indicates the stock is trading at a lower price compared to the Consumer Durables industry. Although, there may be another chance to buy again in the future. This is because Green Brick Partners’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company’s shares will likely fall by more than the rest of the market, providing a prime buying opportunity.

View our latest analysis for Green Brick Partners

Can we expect growth from Green Brick Partners?

Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. However, with a negative profit growth of -0.02% expected over the next couple of years, near-term growth certainly doesn’t appear to be a driver for a buy decision for Green Brick Partners. This certainty tips the risk-return scale towards higher risk.