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HCCI or CWST: Which Is the Better Value Stock Right Now?
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Investors interested in stocks from the Pollution Control sector have probably already heard of Heritage-Crystal Clean and Casella (CWST - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, both Heritage-Crystal Clean and Casella are sporting a Zacks Rank of # 1 (Strong Buy). 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 analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
HCCI currently has a forward P/E ratio of 9.85, while CWST has a forward P/E of 77.50. We also note that HCCI has a PEG ratio of 0.66. 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. CWST currently has a PEG ratio of 5.47.
Another notable valuation metric for HCCI is its P/B ratio of 2.10. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, CWST has a P/B of 9.40.
Based on these metrics and many more, HCCI holds a Value grade of B, while CWST has a Value grade of F.
Both HCCI and CWST are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that HCCI is the superior value option right now.
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HCCI or CWST: Which Is the Better Value Stock Right Now?
Investors interested in stocks from the Pollution Control sector have probably already heard of Heritage-Crystal Clean and Casella (CWST - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, both Heritage-Crystal Clean and Casella are sporting a Zacks Rank of # 1 (Strong Buy). 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 analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
HCCI currently has a forward P/E ratio of 9.85, while CWST has a forward P/E of 77.50. We also note that HCCI has a PEG ratio of 0.66. 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. CWST currently has a PEG ratio of 5.47.
Another notable valuation metric for HCCI is its P/B ratio of 2.10. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, CWST has a P/B of 9.40.
Based on these metrics and many more, HCCI holds a Value grade of B, while CWST has a Value grade of F.
Both HCCI and CWST are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that HCCI is the superior value option right now.