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POR vs. EDPFY: Which Stock Is the Better Value Option?
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Investors with an interest in Utility - Electric Power stocks have likely encountered both Portland General Electric (POR - Free Report) and Energias de Portugal (EDPFY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive 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.
Portland General Electric and Energias de Portugal are sporting Zacks Ranks of #2 (Buy) and #5 (Strong Sell), respectively, right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that POR is likely seeing its earnings outlook improve to a greater extent. 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 grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
POR currently has a forward P/E ratio of 17.22, while EDPFY has a forward P/E of 20.22. We also note that POR has a PEG ratio of 1.29. 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. EDPFY currently has a PEG ratio of 2.85.
Another notable valuation metric for POR is its P/B ratio of 1.57. 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, EDPFY has a P/B of 1.61.
Based on these metrics and many more, POR holds a Value grade of B, while EDPFY has a Value grade of C.
POR stands above EDPFY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that POR is the superior value option right now.
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POR vs. EDPFY: Which Stock Is the Better Value Option?
Investors with an interest in Utility - Electric Power stocks have likely encountered both Portland General Electric (POR - Free Report) and Energias de Portugal (EDPFY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive 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.
Portland General Electric and Energias de Portugal are sporting Zacks Ranks of #2 (Buy) and #5 (Strong Sell), respectively, right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that POR is likely seeing its earnings outlook improve to a greater extent. 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 grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
POR currently has a forward P/E ratio of 17.22, while EDPFY has a forward P/E of 20.22. We also note that POR has a PEG ratio of 1.29. 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. EDPFY currently has a PEG ratio of 2.85.
Another notable valuation metric for POR is its P/B ratio of 1.57. 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, EDPFY has a P/B of 1.61.
Based on these metrics and many more, POR holds a Value grade of B, while EDPFY has a Value grade of C.
POR stands above EDPFY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that POR is the superior value option right now.