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DPSGY vs. CHRW: Which Stock Should Value Investors Buy Now?
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Investors looking for stocks in the Transportation - Services sector might want to consider either Deutsche Post AG or C.H. Robinson Worldwide (CHRW - 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 is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Currently, both Deutsche Post AG and C.H. Robinson Worldwide are holding a Zacks Rank of # 1 (Strong Buy). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. However, value investors will care about much more than just this.
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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
DPSGY currently has a forward P/E ratio of 12.69, while CHRW has a forward P/E of 16.09. We also note that DPSGY has a PEG ratio of 1. 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. CHRW currently has a PEG ratio of 1.79.
Another notable valuation metric for DPSGY is its P/B ratio of 3.60. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, CHRW has a P/B of 6.75.
These metrics, and several others, help DPSGY earn a Value grade of A, while CHRW has been given a Value grade of D.
Both DPSGY and CHRW are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that DPSGY is the superior value option right now.
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DPSGY vs. CHRW: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Transportation - Services sector might want to consider either Deutsche Post AG or C.H. Robinson Worldwide (CHRW - 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 is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Currently, both Deutsche Post AG and C.H. Robinson Worldwide are holding a Zacks Rank of # 1 (Strong Buy). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. However, value investors will care about much more than just this.
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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
DPSGY currently has a forward P/E ratio of 12.69, while CHRW has a forward P/E of 16.09. We also note that DPSGY has a PEG ratio of 1. 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. CHRW currently has a PEG ratio of 1.79.
Another notable valuation metric for DPSGY is its P/B ratio of 3.60. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, CHRW has a P/B of 6.75.
These metrics, and several others, help DPSGY earn a Value grade of A, while CHRW has been given a Value grade of D.
Both DPSGY and CHRW are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that DPSGY is the superior value option right now.