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IQV vs. CLBT: Which Stock Is the Better Value Option?

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Investors interested in Technology Services stocks are likely familiar with IQVIA Holdings (IQV - Free Report) and Cellebrite DI Ltd. (CLBT - 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.

We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.

IQVIA Holdings has a Zacks Rank of #2 (Buy), while Cellebrite DI Ltd. has a Zacks Rank of #4 (Sell) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that IQV is likely seeing its earnings outlook improve to a greater extent. But this is just one piece of the puzzle for value investors.

Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.

Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.

IQV currently has a forward P/E ratio of 17.82, while CLBT has a forward P/E of 51.84. We also note that IQV has a PEG ratio of 1.53. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. CLBT currently has a PEG ratio of 10.22.

Another notable valuation metric for IQV is its P/B ratio of 6.28. 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, CLBT has a P/B of 34.06.

These metrics, and several others, help IQV earn a Value grade of B, while CLBT has been given a Value grade of C.

IQV sticks out from CLBT in both our Zacks Rank and Style Scores models, so value investors will likely feel that IQV is the better option right now.


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IQVIA Holdings Inc. (IQV) - free report >>

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