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QRTEA vs. AMZN: Which Stock Is the Better Value Option?
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Investors with an interest in Internet - Commerce stocks have likely encountered both Qurate Retail (QRTEA - Free Report) and Amazon (AMZN - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Qurate Retail has a Zacks Rank of #2 (Buy), while Amazon has a Zacks Rank of #3 (Hold) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that QRTEA has an improving earnings outlook. But this is just one factor that value investors are interested in.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
QRTEA currently has a forward P/E ratio of 3.70, while AMZN has a forward P/E of 98.49. We also note that QRTEA has a PEG ratio of 1.30. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. AMZN currently has a PEG ratio of 3.41.
Another notable valuation metric for QRTEA is its P/B ratio of 0.64. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, AMZN has a P/B of 20.07.
Based on these metrics and many more, QRTEA holds a Value grade of A, while AMZN has a Value grade of D.
QRTEA is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that QRTEA is likely the superior value option right now.
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QRTEA vs. AMZN: Which Stock Is the Better Value Option?
Investors with an interest in Internet - Commerce stocks have likely encountered both Qurate Retail (QRTEA - Free Report) and Amazon (AMZN - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Qurate Retail has a Zacks Rank of #2 (Buy), while Amazon has a Zacks Rank of #3 (Hold) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that QRTEA has an improving earnings outlook. But this is just one factor that value investors are interested in.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
QRTEA currently has a forward P/E ratio of 3.70, while AMZN has a forward P/E of 98.49. We also note that QRTEA has a PEG ratio of 1.30. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. AMZN currently has a PEG ratio of 3.41.
Another notable valuation metric for QRTEA is its P/B ratio of 0.64. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, AMZN has a P/B of 20.07.
Based on these metrics and many more, QRTEA holds a Value grade of A, while AMZN has a Value grade of D.
QRTEA is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that QRTEA is likely the superior value option right now.