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ASX vs. SYNA: Which Stock Is the Better Value Option?
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Investors with an interest in Electronics - Semiconductors stocks have likely encountered both ASE Technology Hldg (ASX - Free Report) and Synaptics (SYNA - 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.
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.
ASE Technology Hldg and Synaptics are both sporting a Zacks Rank of # 2 (Buy) right now. Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. 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.
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.
ASX currently has a forward P/E ratio of 7.53, while SYNA has a forward P/E of 13.08. We also note that ASX has a PEG ratio of 0.27. 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. SYNA currently has a PEG ratio of 1.31.
Another notable valuation metric for ASX is its P/B ratio of 1.57. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, SYNA has a P/B of 6.22.
These metrics, and several others, help ASX earn a Value grade of A, while SYNA has been given a Value grade of C.
Both ASX and SYNA are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that ASX is the superior value option right now.
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ASX vs. SYNA: Which Stock Is the Better Value Option?
Investors with an interest in Electronics - Semiconductors stocks have likely encountered both ASE Technology Hldg (ASX - Free Report) and Synaptics (SYNA - 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.
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.
ASE Technology Hldg and Synaptics are both sporting a Zacks Rank of # 2 (Buy) right now. Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. 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.
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.
ASX currently has a forward P/E ratio of 7.53, while SYNA has a forward P/E of 13.08. We also note that ASX has a PEG ratio of 0.27. 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. SYNA currently has a PEG ratio of 1.31.
Another notable valuation metric for ASX is its P/B ratio of 1.57. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, SYNA has a P/B of 6.22.
These metrics, and several others, help ASX earn a Value grade of A, while SYNA has been given a Value grade of C.
Both ASX and SYNA are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that ASX is the superior value option right now.