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VNT vs. APP: Which Stock Should Value Investors Buy Now?
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Investors looking for stocks in the Technology Services sector might want to consider either Vontier Corporation (VNT - Free Report) or AppLovin (APP - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? 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.
Currently, both Vontier Corporation and AppLovin are holding a Zacks Rank of # 2 (Buy). 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 also try to analyze a wide range of traditional figures and metrics to help determine whether 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.
VNT currently has a forward P/E ratio of 9.35, while APP has a forward P/E of 90.67. We also note that VNT has a PEG ratio of 1.38. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. APP currently has a PEG ratio of 4.53.
Another notable valuation metric for VNT is its P/B ratio of 9.91. 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, APP has a P/B of 13.17.
These metrics, and several others, help VNT earn a Value grade of A, while APP has been given a Value grade of F.
Both VNT and APP are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that VNT is the superior value option right now.
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VNT vs. APP: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Technology Services sector might want to consider either Vontier Corporation (VNT - Free Report) or AppLovin (APP - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? 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.
Currently, both Vontier Corporation and AppLovin are holding a Zacks Rank of # 2 (Buy). 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 also try to analyze a wide range of traditional figures and metrics to help determine whether 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.
VNT currently has a forward P/E ratio of 9.35, while APP has a forward P/E of 90.67. We also note that VNT has a PEG ratio of 1.38. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. APP currently has a PEG ratio of 4.53.
Another notable valuation metric for VNT is its P/B ratio of 9.91. 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, APP has a P/B of 13.17.
These metrics, and several others, help VNT earn a Value grade of A, while APP has been given a Value grade of F.
Both VNT and APP are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that VNT is the superior value option right now.