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CHRS or ILMN: Which Is the Better Value Stock Right Now?
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Investors interested in Medical - Biomedical and Genetics stocks are likely familiar with Coherus BioSciences (CHRS - Free Report) and Illumina (ILMN - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Coherus BioSciences has a Zacks Rank of #2 (Buy), while Illumina has a Zacks Rank of #5 (Strong Sell) right now. This means that CHRS's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their 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.
CHRS currently has a forward P/E ratio of 18.36, while ILMN has a forward P/E of 93. We also note that CHRS has a PEG ratio of 8.54. 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. ILMN currently has a PEG ratio of 13.29.
Another notable valuation metric for CHRS is its P/B ratio of 4.87. 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, ILMN has a P/B of 15.32.
Based on these metrics and many more, CHRS holds a Value grade of B, while ILMN has a Value grade of D.
CHRS stands above ILMN thanks to its solid earnings outlook, and based on these valuation figures, we also feel that CHRS is the superior value option right now.
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CHRS or ILMN: Which Is the Better Value Stock Right Now?
Investors interested in Medical - Biomedical and Genetics stocks are likely familiar with Coherus BioSciences (CHRS - Free Report) and Illumina (ILMN - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Coherus BioSciences has a Zacks Rank of #2 (Buy), while Illumina has a Zacks Rank of #5 (Strong Sell) right now. This means that CHRS's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their 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.
CHRS currently has a forward P/E ratio of 18.36, while ILMN has a forward P/E of 93. We also note that CHRS has a PEG ratio of 8.54. 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. ILMN currently has a PEG ratio of 13.29.
Another notable valuation metric for CHRS is its P/B ratio of 4.87. 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, ILMN has a P/B of 15.32.
Based on these metrics and many more, CHRS holds a Value grade of B, while ILMN has a Value grade of D.
CHRS stands above ILMN thanks to its solid earnings outlook, and based on these valuation figures, we also feel that CHRS is the superior value option right now.