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APTV vs. JAMF: 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 Aptiv PLC (APTV - Free Report) or Jamf Holding (JAMF - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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 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.

Aptiv PLC and Jamf Holding are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that APTV likely has seen a stronger improvement to its earnings outlook than JAMF has recently. But this is just one factor that value investors are interested in.

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.

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.

APTV currently has a forward P/E ratio of 23.04, while JAMF has a forward P/E of 238.46. We also note that APTV has a PEG ratio of 2.11. 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. JAMF currently has a PEG ratio of 6.79.

Another notable valuation metric for APTV is its P/B ratio of 2.91. 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, JAMF has a P/B of 4.62.

Based on these metrics and many more, APTV holds a Value grade of B, while JAMF has a Value grade of F.

APTV stands above JAMF thanks to its solid earnings outlook, and based on these valuation figures, we also feel that APTV is the superior value option right now.


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