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FLR vs. J: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Engineering - R and D Services sector might want to consider either Fluor (FLR - Free Report) or Jacobs Engineering (J - 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.
Fluor and Jacobs Engineering are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that FLR has an improving earnings outlook. However, value investors will care about much more than just this.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their 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.
FLR currently has a forward P/E ratio of 20.78, while J has a forward P/E of 20.92. We also note that FLR has a PEG ratio of 0.62. 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. J currently has a PEG ratio of 1.69.
Another notable valuation metric for FLR is its P/B ratio of 2.51. 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, J has a P/B of 3.14.
These metrics, and several others, help FLR earn a Value grade of B, while J has been given a Value grade of C.
FLR sticks out from J in both our Zacks Rank and Style Scores models, so value investors will likely feel that FLR is the better option right now.
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FLR vs. J: Which Stock Is the Better Value Option?
Investors looking for stocks in the Engineering - R and D Services sector might want to consider either Fluor (FLR - Free Report) or Jacobs Engineering (J - 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.
Fluor and Jacobs Engineering are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that FLR has an improving earnings outlook. However, value investors will care about much more than just this.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their 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.
FLR currently has a forward P/E ratio of 20.78, while J has a forward P/E of 20.92. We also note that FLR has a PEG ratio of 0.62. 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. J currently has a PEG ratio of 1.69.
Another notable valuation metric for FLR is its P/B ratio of 2.51. 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, J has a P/B of 3.14.
These metrics, and several others, help FLR earn a Value grade of B, while J has been given a Value grade of C.
FLR sticks out from J in both our Zacks Rank and Style Scores models, so value investors will likely feel that FLR is the better option right now.