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TOT vs. CVX: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Oil and Gas - Integrated - International sector might want to consider either TOTAL SE or Chevron (CVX - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
TOTAL SE and Chevron are both sporting a Zacks Rank of # 1 (Strong Buy) right now. This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is only part of the picture for value investors.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
TOT currently has a forward P/E ratio of 12.72, while CVX has a forward P/E of 25.10. We also note that TOT has a PEG ratio of 2.97. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. CVX currently has a PEG ratio of 5.02.
Another notable valuation metric for TOT is its P/B ratio of 1.09. 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, CVX has a P/B of 1.25.
These are just a few of the metrics contributing to TOT's Value grade of B and CVX's Value grade of C.
Both TOT and CVX are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that TOT is the superior value option right now.
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TOT vs. CVX: Which Stock Is the Better Value Option?
Investors looking for stocks in the Oil and Gas - Integrated - International sector might want to consider either TOTAL SE or Chevron (CVX - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
TOTAL SE and Chevron are both sporting a Zacks Rank of # 1 (Strong Buy) right now. This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is only part of the picture for value investors.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
TOT currently has a forward P/E ratio of 12.72, while CVX has a forward P/E of 25.10. We also note that TOT has a PEG ratio of 2.97. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. CVX currently has a PEG ratio of 5.02.
Another notable valuation metric for TOT is its P/B ratio of 1.09. 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, CVX has a P/B of 1.25.
These are just a few of the metrics contributing to TOT's Value grade of B and CVX's Value grade of C.
Both TOT and CVX are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that TOT is the superior value option right now.