Montauk Renewables shares surge 20.28% after-hours as Zacks highlights undervaluation via strong buy rating and favorable valuation metrics.

Montauk Renewables (MNTK) surged 20.28% in after-hours trading following a Zacks Investment Research report highlighting its undervaluation and strong earnings outlook. The analysis noted MNTK’s Zacks Rank #1 (Strong Buy) and an "A" grade for Value, emphasizing favorable valuation metrics such as a P/S ratio of 1.27 (vs. industry average 2.66) and a P/CF ratio of 10.46 (vs. industry average 15.76). The report concluded that the stock is attractively priced relative to its cash flow and revenue, positioning it as a compelling value opportunity. The after-hours rally aligns with the report’s bullish assessment, suggesting investor confidence in the stock’s potential based on the cited fundamentals.